Global challenges are being met with steadfast determination by Vietnam
In the dynamic world of global economics, Vietnam's monetary policy is expected to maintain a cautious stance for the remainder of 2025. This approach is in response to recent inflation upticks and slowing growth, with the GDP growth projections revised downward to around 6.1-6.3%.
The State Bank of Vietnam (SBV) is carefully balancing inflation containment without stifling growth momentum. Mild inflation increase suggests some upward price pressures remain, discouraging aggressive monetary easing. Revised GDP growth forecasts, reflecting moderating expansion and external uncertainties, limit the scope for further stimulus.
External uncertainties and exchange rate pressures also play a significant role in Vietnam's monetary policy decisions. The SBV acknowledges unknowns from global monetary conditions, especially US Federal Reserve policy and related exchange rate volatility, which complicate policy decisions.
Demand-push factors could increase inflationary pressure in the near future in Vietnam. However, the central bank is likely to maintain a neutral or slightly tightening bias, making progressive decisions based on incoming economic data.
Meanwhile, in the realm of digital banking, Standard Chartered Bank Vietnam is leveraging AI to drive innovation, boost efficiency, and enhance customer and employee experiences. The bank's partnership with Softdreams aims to drive business growth and financial inclusion for Small and Medium Enterprises (SMEs).
In a significant initiative, Standard Chartered Bank launched SC WIN, a global initiative to empower women entrepreneurs in Vietnam. This programme aims to address financial and non-financial barriers for women-led SMEs in the country.
Vietnam's economy, a key link in the global supply chain and an important manufacturing hub for the region, was growing more than 6% annually on average before the pandemic. The International Monetary Fund forecasts Vietnam as the only Southeast Asian representative in the top 10 countries with a growth rate of 6.4% from 2024 to 2029.
The resumption of upward inflation momentum, along with ongoing currency weakness, may make it challenging to lower rates in Vietnam. However, the rate of foreign investment has improved, led by the manufacturing sector and followed by the property sector.
In a recent conference in Hanoi, Standard Chartered Vietnam and the State Bank of Vietnam co-organized a conference on "Banking women integrating with digital transformation". This event underscores the bank's commitment to supporting women entrepreneurs in Vietnam.
Standard Chartered Bank is committed to providing $1 billion in financing to women entrepreneurs globally by 2028. This commitment, coupled with strategic partnerships and innovative digital solutions, positions Standard Chartered Vietnam as a key player in Vietnam's digital banking landscape.
Sources:
[1] Vietnamnet Bridge. (2025). GDP growth forecast for 2025 revised down to 6.1%. Retrieved from https://vietnamnet.vn/en/features/gdp-growth-forecast-for-2025-revised-down-to-6-1-717106.html
[2] Reuters. (2025). Vietnam's inflation forecast revised down to 3.5% for 2025. Retrieved from https://www.reuters.com/world/asia-pacific/vietnams-inflation-forecast-revised-down-3-5-2025-06-01/
[3] Vietnam Plus. (2025). Vietnam's refinancing rate expected to stay on hold for the rest of 2025. Retrieved from https://vietnamplus.vn/vietnams-refinancing-rate-expected-to-stay-on-hold-for-the-rest-of-2025/199935.vnp
[4] Nikkei Asia. (2025). Vietnam's central bank to stay cautious amid inflation, growth slowdown. Retrieved from https://asia.nikkei.com/Economy/Vietnam-economy/Vietnams-central-bank-to-stay-cautious-amid-inflation-growth-slowdown
[5] Standard Chartered Bank. (2025). Standard Chartered launches SC WIN, global initiative to empower women entrepreneurs in Vietnam. Retrieved from https://www.standardchartered.com/about/news/press-releases/standard-chartered-launches-sc-win-global-initiative-to-empower-women-entrepreneurs-in-vietnam.html
[6] Standard Chartered Bank. (2025). Standard Chartered signs partnership with Softdreams to support SMEs in Vietnam. Retrieved from https://www.standardchartered.com/about/news/press-releases/standard-chartered-signs-partnership-with-softdreams-to-support-smes-in-vietnam.html
The State Bank of Vietnam (SBV) is carefully balancing inflation containment and growth momentum in the finance sector. This approach is influenced by the revised GDP growth forecasts and external uncertainties, which limit the scope for further stimulus.
Meanwhile, Standard Chartered Bank Vietnam is leveraging AI to boost business growth and financial inclusion for Small and Medium Enterprises (SMEs), particularly women-led ones, through its strategic partnerships and innovative digital solutions.
