# Stopping foreign currency lending: An arrow hits multiple targets

> From October 1, 2019, Vietnamese credit organisations and foreign banks stopped offering medium and long-term foreign currency loans for paying offshore for imported goods and services. Experts said the restriction reduces the effective supply and demand of foreign currency and curbs dollarisation in the economy.

- Date: 2019-10-02 · published 2019-10-02T12:00:00.000Z
- Category: policy · region Vietnam · magnitude low
- Page: https://feedsoft.ai/events/56869-stopping-foreign-currency-lending-an-arrow-hits-multiple-targets
- Commodities: [Vietnamese Dong (VND per USD)](https://feedsoft.ai/c/USDVND.md)

## Why it matters

Tighter dollar credit for importers could slow purchases of dollar-priced feed inputs and modestly ease pressure on the dong, which is a mild bearish signal for imported feed commodity demand in Vietnam.

## Read by commodity

- USDVND: bearish ▼

## Sources

- en.vietnamplus.vn: https://en.vietnamplus.vn/stopping-foreign-currency-lending-an-arrow-hits-multiple-targets-post166597.vnp

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