HANOI, Jan. 7 (Xinhua) -- Experts predicted that the Vietnamese dong will depreciate by about 3 percent against the U.S. dollar in 2025 as the strong dollar will still be a major factor influencing the exchange rate, Vietnam News Agency reported Tuesday.

Experts from Vietcombank Securities Company predicted the dollar index may remain at a high level and may last longer than expected. At the same time, the main trend of central banks around the world is to lower interest rates to stimulate economic growth.

Dr. Nguyen Tri Hieu said the possibility of a sharp increase in the dollar/dong exchange rate would significantly impact the monetary policy of the State Bank of Vietnam. If the exchange rate increases, inflationary pressure in Vietnam will also increase.

In that situation, the central bank may need to change its monetary policy, including raising interest rates, along with other policies to reduce pressure and control inflation, he said. Enditem

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