The forecast is highlighted in the bank’s recently published global research report titled “Still battling headwinds” and Vietnam-focused macro-economic research report titled “Vietnam – Moving back to high growth”.

According to Standard Chartered’s economists, exports should be supported in 2022 by a continued improvement in the global trade environment, although import growth is likely to remain high.

The State Bank of Vietnam is expected to keep its policy rate on hold at 4 percent in 2022 to support credit growth and manage inflation risks.

Standard Chartered Bank maintains its medium-term constructive view on the Vietnamese dong amid expectations of a strong balance of payments.

The rapid pace of appreciation since July reflects more flexible exchange rate management by the central bank. The Vietnamese dong is among the best-performing emerging market currencies in 2021./.