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Economy

Vietnam central bank to cut rates on March 15 amid SVB turmoil

Move will reverse trend of hikes after country says inflation under control

Vietnam's central bank aims to increase liquidity and support economic growth amid the global turmoil caused by the fall of Silicon Valley Bank.   © Reuters

HANOI (Reuters) -- Vietnam's central bank said on Tuesday it was cutting several policy rates to increase liquidity and support economic growth, in a surprise move that set it apart from regional peers amid the global turmoil caused by the fall of Silicon Valley Bank.

It is the first such move for Vietnam's central bank since October 2020 and it reverses a trend of rate hikes, with the last one in October 2022.

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