# Central bank not really loosening monetary policy, say experts

> The State Bank of Vietnam cut its benchmark refinancing and rediscount rates by 0.25 percentage points and lowered the interest rate cap for loans to five priority sectors by 0.5 points. Many economists argued the cuts do not signal a loosening of monetary policy. They said the moves mainly aim to speed up bad debt settlement and reflect a focus on inflation and the exchange rate.

- Date: 2017-07-31 · published 2017-07-31T12:00:00.000Z
- Category: policy · region Vietnam · magnitude low
- Page: https://feedsoft.ai/events/70258-central-bank-not-really-loosening-monetary-policy-say-experts
- Commodities: [Vietnamese Dong (VND per USD)](https://feedsoft.ai/c/USDVND.md)

## Why it matters

The cuts are unlikely to change Vietnamese demand for feed ingredients in a meaningful way. Their main relevance is to the dong and domestic credit conditions.

## Sources

- vietnamnews.vn: https://vietnamnews.vn/economy/381072/central-bank-not-really-loosening-monetary-policy-say-experts.html

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