Vietnam's Monetary Policy during the AFC

Kirrane, Chris (2018): Vietnam's Monetary Policy during the AFC. Published in: Asian Journal of Political Economy , Vol. 8, No. Winter (1 November 2018): pp. 203-215.

Abstract

This paper examines Vietnam's exchange rate policy during the Asian financial crisis. It concludes that the policy of anchoring the Vietnamese Dong to the US dollar and controlled floating used by the Vietnamese monetary authorities since 1992, led to stabilisation of the exchange rate and controlled inflation during a period of rapid growth. It concludes that the risk of a financial crisis, experienced by other Southeast Asian countries was low, even if the country remained vulnerable to a currency crisis because of its current account deficit.

• Item Type: MPRA Paper
• Language: English
• Keywords: Asian Financial Crisis
• Subjects: F - International Economics > F3 - International Finance; F - International Economics > F3 - International Finance > F31 - Foreign Exchange

References

Edwards, S. (1996), Real Exchanges Rates Devaluation and Adjustment: Exchange Rate Policies in Developing Countries, MIT Press, Cambridge, Mass.

Fischer, S. (1998), Causes et conséquences de la crise asiatique dans l'optique du FMI, IMF Bulletin, 2 February, p. 21-22.

Flood, B. and N. Marion (1998), Perspectives on the Recent Currency Crisis Literature, NBER Working Paper, n° 6380, MIT Press, Cambridge, Mass.

Guillaumont, P. and S. Guillaumont Jeanneney (1997), Chinh Sach Ty Gia Va Cong Cuoc Chuyen Doi Sang Kinh Te Thi Truong : Kinh Nghiem Vietnam, Doi Moi Quan Ly Kinh Te (Politique de change et transition vers l'économie de marché : l'expérience du Vietnam), L'ouverture économique, TAP 1.

Guillaumont, P. and S. Guillaumont Jeanneney (1998), Politique de change et transition vers l'économie de marché : expériences comparées de la Chine et du Vietnam, Développement et transition vers l'économie de marché, Actes des 3e journées scientifiques du Réseau analyse économique et développement, AUPELF-UREF, Hanoi, p. 100-114.

Guillaumont, P. and J. de Melo (eds) (1994), Vietnam. Policies for Transition to an Open Economy, UNDP World Bank Trade Expansion Program, Country Report n° 13, February.

Guillaumont, P and Jeanneney, S. (1993), La politique économique en présence de substitution de monnaies, Revue économique, May, p. 349-368.

IMF (1997), Staff Report for the 1997 Article IV Consultation, December, Washington, DC.

Kirrane, C. (2017), Looking Back to the Asian Crisis; lessons for the IMF. Asian Journal of Political Economy, Vol. 7, pp. 58-67

Krugman, P. (1998), What happened to Asia http://web.mit.edu.krugman/www/DININTER.Htn ,January.

Le Dang Doanh and A. Mac Carty (1996), Economic Reform in Vietnam : Achievements and Prospects, in S.J. Naya and J.L.H. Tan (eds), Asian Transitional Economies. Challenges and Prospects for Reform and Transformation, ISEAS, Singapore International Center for Economic Growth.

McKinnon, R. (1988), Financial Liberalisation in Retrospect: Interest Rate Policies in LDC's, in G. Ranis and T.P. Schultz (eds), The State of Development Economics : Progress and Perspectives, Basil Blackwell Inc., New York, p. 386-410.

McKinnon, R. and H. Pill (1996), Credible Liberalizations and International Capital Flows: the Overborrowing Syndrome, in T. Ito and A.O. Krueger (eds), Financial Deregulation and Integration in East Asia, Chicago University Press, Chicago.

Rifflart, Ch. (1997), À l'origine de la crise financière: les tigres d'Asie, La lettre de l'OFCE, p. 5-8.

United Nations (1997), Statistical Yearbook for Asia and the Pacific, New York.

World Bank (1998), Global Development Finance, Washington, DC.

World Bank (1996), Rapport sur le développement dans le monde 1996. De l'économie planifiée à l'économie de marché, Washington, DC.