Vietnam's annual inflation rose to 5.08 per cent in September, surpassing the 4.5 per cent target but remaining within manageable limits, according to the central bank.
The increase in inflation has added pressure on Vietnam's monetary policy management for the remainder of the year, according to Pham Thanh Ha, deputy governor of the central bank. Annual inflation in September was 5.08 per cent, up from 4.89 per cent in August, as reported by the statistics office.
The central bank plans to maintain a flexible monetary policy for the rest of the year, balancing inflation control with economic growth support. It will increase lending to business and manufacturing projects while tightening lending to high-risk sectors. Vietnam's GDP growth in the third quarter was 9.95 per cent, and the fourth quarter must exceed 12 per cent to meet the full-year growth target of at least 10 per cent.
Why it matters
Vietnam's central bank must manage inflation while maintaining economic growth to meet its annual targets.
This section reflects Dumpling editorial interpretation and is provided for context only.
What to watch
Vietnam's fourth-quarter GDP growth and the central bank's monetary policy adjustments in the coming months.
This section reflects Dumpling editorial interpretation and is provided for context only.