Vietnam ordered state companies to take foreign currency

The Vietnamese government has demanded from the largest state-owned companies to sell their foreign exchange reserves into the banks objective of the initiative is to support the course of dong, which over the past three years been devalued by more than 20%, the Lenta.ru. Prime Minister Nguyen Tan Dung has approved a package of measures to tighten monetary and fiscal policy. In this way, the Government intends to prevent an acceleration of inflation and balance the economic situation. Banks, currency received from corporations, can then sell it at the official exchange rate when necessary. In the past three years, Vietnam was faced with high trade and budget deficits. This led to the outflow of currency from the country and the devaluation of dong.