State Bank of Vietnam briefs IMF on cautious monetary policy and restructuring to 20 departments and 15 regional branches

The State Bank of Vietnam published a readout of Governor Nguyen Thi Hong’s meeting with International Monetary Fund (IMF) Deputy Managing Director Kenji Okamura, covering Vietnam’s macroeconomic outlook, institutional reforms and the impact of adverse global developments. The Governor reiterated that monetary policy will remain proactive, flexible and prudent, with a focus on inflation control and maintaining stability in the macroeconomy, foreign exchange market and banking system, alongside ongoing modernisation of the monetary policy framework supported by IMF technical assistance. Okamura praised Vietnam’s recent macroeconomic performance and said the visit aimed to deepen the IMF’s understanding of macro developments and reform progress. The Governor referenced IMF recommendations that monetary policy space is limited and that fiscal policy could play a larger role, noting Vietnam’s public debt is lower than the global average. The readout also highlighted government priorities to diversify export markets, develop domestic demand and adopt a more selective approach to foreign direct investment focused on efficiency, technology transfer and domestic linkages, as well as broader emphasis on innovation, digital transformation and green growth. On public sector reform, Vietnam is pursuing administrative streamlining including a two-tier local government model, while the State Bank of Vietnam has reorganised from 25 to 20 departments and agencies and from 63 local branches to 15 regional branches. Both sides underscored the importance of ongoing Vietnam–IMF cooperation, including through Article IV surveillance and technical assistance.