Nguyen Hoang Minh, deputy director of the State Bank of Vietnam (SBV) HCM City branch, disclosed that, in the first three months of 2019, foreign remittances to HCM City reached $1.2 billion compared to $1.12 billion achieved in the same period last year. The agency also announced that the domestic macro economy has stabilised and the pressure to raise exchange rate due to market sentiment has been removed, so recipients of the remittances have gradually turned to hold dong instead of foreign currencies.
Leaders of the SBV HCM City branch stated that, in recent years, remittances to HCM City have been increasing every year. In 2018, total remittance amount reached over $5 billion.
Foreign remittance to Vietnam this year continues to be appreciated by financial analysts due to stable exchange rate management policy and the fact that the US Federal Reserve (Fed) will stop raising US dollar interest rates in the near future, even possibly reduce them. According to financial analysts, although interest rate for foreign currency deposits is still at 0 percent, it will not affect remittances.
