World News

Vietnam says not aiming to create ‘unfair competitive advantage’ in int’l trade

HANOI (Reuters) – The State Bank of Vietnam said on Tuesday it was not aiming to create “unfair competitive advantage” in international trade, after the country appeared on a U.S. watch list of currency manipulators.

“The State Bank of Vietnam will coordinate with relevant agencies to discuss and address the issue raised by the U.S. Treasury in a cooperative manner,” it said in a statement.

Vietnam has been singled out by Washington given its trade surplus with the United States, a highly positive current account balance and a perception that its central bank has been quite active in terms of net foreign exchange purchases.

Vietnam’s trade surplus with the United States, the southeast Asian country’s biggest export market, widened to $46.98 billion last year from $34.87 billion in 2018.

The central bank also said it would continue to pursue a “flexible monetary policy” meant to contain inflation and maintain macro-stability.

(Reporting by Khanh Vu; Editing by Mark Heinrich)