In the afternoon of May 14, 2022, within the framework of the official visit to the US, Governor Nguyen Thi Hong of the State Bank of Vietnam (SBV) attended Prime Minister Pham Minh Chinh’s Policy Dialogue at Harvard University in Cambridge, Massachusetts.
At the Dialogue, Prime Minister Pham Minh Chinh delivered a presentation on building an independent, self-reliant economy associated with extensive, effective and practical international integration in Vietnam. In his presentation, the Prime Minister emphasized Vietnam’s consistent policy of (1) Eliminating the bureaucracy and budget subsidies, promoting multi-ownerships and integration; (2) Creating a favorable environment and conditions, protecting legitimate rights and interests of the businesses and partners investing and doing business in Vietnam to ensure long-term, effective and sustainable operations on the principles of harmonizing all parties’ interests, risk sharing and complying with the laws; and (3) Vietnam wishes to be a good friend, a trustworthy partner and a responsible member in the resolution of international and regional issues, as well as global challenges for the common prosperity. Thanks for these policies, Vietnam’s economy has been developing robustly, to become an emerging economy with remarkable and meaningful achievements.
Also at the Dialogue, Governor Nguyen Thi Hong, the Minister of Planning and Investment, and the Minister of Industry and Trade also delivered their speeches. From the perspective of the banking sector, Governor Nguyen Thi Hong emphasized the role of the SBV in contributing to the development of an independent and self-reliant economy in the context of the international integration. She shared that Government of Vietnam and the SBV are always determined and consistent with the objectives of controlling the inflation and maintaining the macro-economic stability.
Governor Nguyen Thi Hong speaks at the Policy Dialogue at Harvard University
The SBV has always followed closely the macro-economic developments in the international and domestic markets, improved the capacity of forecasting and analysis, and responded flexibly, and collaborated harmoniously with the monetary policies with other instruments in order to achieve the set objectives, not to create any unfair comparative advantages in international trade. Therefore, the inflation has been controlled and maintained at low level of below 5% for many years.
The SBV Governor also shared that the development of an independent and self-reliant economy with the contributions of the monetary policy through flexible responses helps to increase the resilience of the economy to the external and internal shocks. Moreover, the SBV Governor agreed with the recommendations of Prof. David Depice of Harvard University that Vietnam should diversify its trade partners. In addition, the SBV Governor also stated that it is necessary to conduct measures of exploiting the domestic demand, reducing the dependence on export, thereby mitigating the risks for the macro-economic and monetary policy.
Le Hang