Monthly cabinet meeting focuses on macro-economy

The meeting aimed to find solutions to minimize the negative impacts and maintain macroeconomic stability.

Reports of different ministries and agencies focused on analysing the situation of falling global oil prices, the downturn in global stock markets, and the devaluation of the Chinese Yuan. Along with that, the declining growth of emerging economies and China was also discussed.

Deputy prime ministers attending the meeting agreed that the rapid response and adjustments by the government had proved their effectiveness.  However, the global economy was proving very unpredictable, and it required close monitoring and evaluation.

Regarding the declining price of crude oil, different scenarios, including the worst case scenario were discussed to settle on appropriate solutions. The Ministry of Finance confirmed that budget revenues were still secure and would exceed the target of an 8% increase.

Regarding the downturn in Vietnam’s stock market during the past week, the State Securities Commission of Vietnam said that the market would recover and continue to attract more inflow of investment.

Regarding interest rates and the exchange rate of the VND, the state bank said that they would not make changes to the current exchange rate between VND and USD. In his closing statement, Prime Minister Nguyen Tan Dung said ministries and agencies should closely follow market fluctuations and actively co-ordinate to respond to new circumstances./.