The Hanoi branch of the State Bank of Vietnam has announced that it will monitor the lending and repayment of foreign loans as well as foreign transfers by organisations, agencies and individuals.

The move is designed to reduce the pressure that foreign currencies put on the economy and help curb inflation and stabilise the macro economy.

The branch has also instructed credit institutions to control lending and forex trading in accordance with the law. It has strengthened foreign exchange management to ensure foreign currency liquidity and to control the exchange rate to meet the needs of the economy, and increased forex sources for credit institutions.

The branch has instructed credit institutions to execute the exchange rate mechanism in accordance with regulations, actively improve internal rules and apply precautionary measures to cover the risks of forex trading.

Branch director Nguyen Thi Mai Suong said apart from monitoring, controlling and auditing, the branch will co-ordinate closely with relevant agencies such as the Ministry of Public Security, the Market Watch Team and the central bank to stabilise the currency market and monitor forex activities of organisations and individuals in Hanoi . /.