Tin mới
Gov’t too slow for inflation, NA deputy says (24/12)
06/08/2010 - 27 Lượt xem
Ngoan spoke to Thanh Nien about the monetary policy.
Thanh Nien: 2007’s inflation rate will far exceed the National Assembly’s target set for the year. What are your thoughts on the issue?
Vu Viet Ngoan: It is true that the Consumer Price Index (CPI) is much higher than last year, far beyond the target set by the National Assembly...
The main task now is trying to find the most feasible way to control inflation in 2008.
In 2007, we were slow to adapt to several changes in the economy.
For example, our monetary policy was unable to react quickly enough to the increase of foreign investments after joining the WTO.
We have to admit this is a difficult challenge for developing countries.
An inflexible monetary policy coupled with large money flow surges have escalated the dong’s value, leading to inflation.
Moreover, other factors like increases in world oil and gold prices, natural disasters and epidemics have all contributed to the problem.
Who do you think should be held responsible for problem?
- I think this is not the time to point any finger at anybody.
Mounting inflation is the other side of high growth and wide integration.
The main challenge is striking a balance between maximizing growth and minimizing the side effects.
The Government has failed in meeting the Assembly’s target of keeping the inflation rate below GDP growth rate this year.
We will discuss the disciplinary action at the Assembly’s third meeting.
However, the meeting will not focus on blaming any individual or organization.
We have to concentrate on finding the most viable solution to this inflation problem.
Sky-high inflation has created a lot of hardships for our people.
- Consumer prices increasing quicker than incomes means we have not been successful in sustaining a growing economy.
It means the people’s welfare has not been guaranteed.
We had many discussions about this at the second National Assembly meeting.
I believe the most immediate task is to control inflation at all cost.
Source: ThanhnienNews
