# Central bank works to increase attractiveness of holding domestic currency

> The State Bank of Vietnam net withdrew more than VND20 trillion from the interbank market in the week before February 24 through bill issuance, and also withdrew about VND8.18 trillion through open market operations. The aim is to lift dong interest rates ahead of an expected Fed rate hike.

- Date: 2023-02-24 · published 2023-02-24T12:00:00.000Z
- Category: macro · region Vietnam · magnitude low
- Page: https://feedsoft.ai/events/37635-central-bank-works-to-increase-attractiveness-of-holding-domestic-currency
- Commodities: [Vietnamese Dong (VND per USD)](https://feedsoft.ai/c/USDVND.md)

## Why it matters

Tighter dong liquidity supports the currency against the dollar, which lowers the local cost of dollar-priced feed imports. The effect on commodity prices is limited.

## Sources

- vietnamnet.vn: https://vietnamnet.vn/en/central-bank-works-to-increase-attractiveness-of-holding-domestic-currency-2113780.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.