Tag: inflation control

According to Minister of Finance Ho Duc Phoc, Vietnam will still be able to control inflation for the year as a whole at 4 per cent. However, unpredictable movements in global energy and material prices together with adjustments to public service prices will make control difficult over the remaining seven months of the year. Vietnam must not increase prices of certain goods and services.

Gasoline prices have increased six times over the past two months and are expected to hit a record VND30,000 ($1.3) per liter. This not only has a negative impact on inflation but also affects production and business activities and erodes people’s incomes. Analysts have said that if the world oil price rises to 150 USD a barrel and if the domestic gasoline price does not stabilize, then inflation will certainly increase to 4.5-5 per cent.