bank devalued the dong for the second time in three months amid widespread concerns over a high trade deficit and inflation.
Since then, the official rate has remained steady at 18,544 dong per US dollar.
Huy said domestic psychological factors as well as the global financial crisis and side effects of government stimulus put the dong under pressure last year.
Official reserves declined as the central bank intervened heavily.
“The reserve level is recovering quickly and hopefully we can achieve a level of 12 weeks of imports soon,” Huy told the European Chamber of Commerce in Vietnam.
Foreign direct investment, aid disbursements, portfolio investment flows and remittances have also increased, he said.
“Right now, our objective is to keep the forex market stable, and all the conditions we have now would not require any substantial change,” Huy said.
He emphasized that the banking system is “very liquid” in US dollars.
For the first time this year, the monthly trade deficit fell in May to below one billion dollars, according to the World Bank.
The government is trying to control its trade deficit and maintain inflation at a maximum eight percent for the year.
Official figures released Thursday said Vietnam’s inflation rate hit 8.75 percent in the first half, but the state bank said the full-year target was attainable.
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