# SBV’s many tools to regulate currency exchange rates

> Vietnam's State Bank has several tools to manage exchange rates, including a trading band of plus or minus 3%. The dong sharply depreciated after the US raised tariffs on $200 billion of Chinese goods to 25% and China retaliated. The yuan has fallen about 3% since early May, and the interbank rate gap narrowed to 0.4-0.7%.

- Date: 2019-05-27 · published 2019-05-27T12:00:00.000Z
- Category: macro · region Vietnam · magnitude low
- Page: https://feedsoft.ai/events/59395-sbv-s-many-tools-to-regulate-currency-exchange-rates
- Commodities: [Vietnamese Dong (VND per USD)](https://feedsoft.ai/c/USDVND.md)

## Why it matters

Currency volatility affects the cost of imported feed for Vietnamese producers, and yuan weakness linked to tariffs could reduce Chinese demand for feed inputs. The effect on world prices is modest.

## Sources

- bizhub.vietnamnews.vn: https://bizhub.vietnamnews.vn/sbvs-many-tools-to-regulate-currency-exchange-rates-post305931.html

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