On July 29, 2024, the sixth meeting of the Working Group on Financial and Monetary Cooperation between the People's Bank of China (PBC) and the State Bank of Viet Nam (SBV) was held in Beijing, China. SBV Deputy Governor Pham Thanh Ha and PBC Deputy Governor Xuan Changneng co-chaired the meeting.
SBV and PBC representatives attend the meeting
In their opening speeches at the meeting, the two Deputy Governors agreed with the assessment that in 2024, despite numerous difficulties and challenges arising from fluctuations in the global economy and geopolitics, the commercial and investment relations between Vietnam and China have continued to develop steadily. For several consecutive years, China has remained Vietnam’s largest commercial partner and the second-largest export market. In the first six months of 2024, bilateral export turnover had reached USD 94.5 billion, representing a 24.1% increase compared to the previous year. Additionally, 447 investment projects were licensed during the first half of the year with both banking systems playing a significant role in achieving these results.
At the meeting, representatives of the two central banks exchanged views on macro-economic situations and policy management in each country. The PBC functional units shared information with the SBV delegation about recent reforms in China, particularly in banking system supervision and management, China's experience in managing the gold market, and the promotion of cross-border trade cooperation with countries in the region.
The two sides further discussed and evaluated the use of two countries’ currencies in cross-border trade settlements. They proposed solutions to existing problems to enhance the utilization of both countries’ currencies in the cross-border trade settlements.
Based on the discussion outcomes, the two sides agreed on a cooperation plan, focusing on exchanging information, sharing experience in the monetary policy management, maintaining the macro-economic stability, supervising the market to ensure stability in the money market, and promoting cooperation to creat favorable conditions for cross-border trade settlements.
Le Hang