Dong devaluation to have little impact on prices: experts

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The recent devaluation of the dong will only have a limited impact on consumer prices as the trading of many imported products has been conducted based on unoffcial exchange rates for a long time, experts said.

The State Bank of Vietnam on Friday devalued the dong by 9.3 percent against the dollar.

Le Duc Thuy, chairman of the National Financial Supervisory Commission, said theoretically such a move can send prices up by 1.4-2 percent.

Thuy, however, said in reality prices of many imported products have already been calculated based on unofficial rates, which means the change in the official rate would not have a significant impact.

Le Dinh An, director of the National Center for Socio-Economic Information and Forecasting, said the central bank's move on Friday aimed to narrow the gap between official and unofficial rates and it would not exert big pressures on prices.

However, he warned that producers and retailers may use the devaluation as an excuse to hike their prices, as has happened earlier.

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