# Why SBV keeps đồng weak against US dollar

> On December 11 the State Bank of Vietnam cut the central reference rate for the dong by VND9 to VND22,775 per US dollar. Commercial bank dollar rates barely moved, and the dollar had gained about 2.4% against the dong in the year to December 7. The central bank's gradual devaluation came even as the dollar index weakened after the US-China trade truce.

- Date: 2019-01-07 · published 2019-01-07T12:00:00.000Z
- Category: macro · region Vietnam · magnitude low
- Page: https://feedsoft.ai/events/61394-why-sbv-keeps-ong-weak-against-us-dollar
- Commodities: [Vietnamese Dong (VND per USD)](https://feedsoft.ai/c/USDVND.md)

## Why it matters

A steadily weaker dong raises the local-currency cost of imported feed ingredients such as soymeal and corn for Vietnamese buyers. The moves have been small, so the direct price effect is limited.

## Sources

- vietnamnews.vn: https://vietnamnews.vn/economy/business-beat/483275/why-sbv-keeps-dong-weak-against-us-dollar.html

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