However, economists said that there is nothing to worry about this situation.

Pham Hong Hai, CEO of the Hongkong and Shanghai Banking Corporation (HSBC), said the increase will not have a big impact on the market.

As the picture of the US-China trade war becomes clearer, the market will be stable, he underlined.

According to him, with the current high foreign exchange reserves, the State Bank of Vietnam (SBV) will be able to ensure market liquidity to help stabilise the market.

Sharing this view, economist Can Van Luc stated that there is nothing to worry about increases in exchange rates, as the central bank has much experience in dealing with this matter, and the dollar is only one among the eight currency baskets managed by the bank every day.

SBV Deputy Governor Nguyen Thi Hong said that the central bank will adjust the interest and exchange rates suitable for the macro balance, market developments, and monetary policy targets.

The SBV set the daily reference exchange rate at 23,046 VND per USD on May 8, up 6 VND from the previous day and the highest level ever.

The opening hour rates at commercial banks also rose strongly.

At 8:15 am, Vietcombank listed the buying rate at 23,275 VND per USD, up 40 VND from May 7 and the selling rate at 23,395 VND per USD, up 50 VND.

The BIDV also raised the buying rate by 40 VND to 23,280 VND per USD and added 60 VND to the selling rate to 23,400 VND/USD.

Techcombank increased the buying rate by 40 VND to 23,255 VND per USD and the selling rate by 60 VND to 23,395 VND/USD.–VNA