“There will be almost no change with the Decision 03,” said Mr Ke.

He said that most of the banks have successfully reduced the securities loans to below 3% as requested, and many of the banks have been trying to keep the securities loans ratio at a little above 2%.

Mr Ke said that the main goal of the Decision 03 is to shrink the secondary market, and limit the trading activities among speculators.

Meanwhile, the Decision 03 has been facing strong opposition from investors and experts, who say that the decision is the main culprit that has made the stock market lackluster. Several days ago, local newspapers, quoting State Securities Commission’s officials as saying that the central bank is considering amending the Decision 03.

The stock market has been falling down, and it is partially because of the oversupply of commodities on the market. Will the State Bank of Vietnam ask state owned banks to slacken their IPOs in order to reduce the supplies?

The State Bank does not direct the implementation of banks’ IPO. Every bank will decide its IPO process. The banks will decide the suitable time for IPO after they can follow necessary legal procedures. The IPOs will not be implemented only if the banks still do not fulfill necessary formalities.

The VND supply proves to be very short, and this is the biggest obstacle for foreign investors to convert dollars into VND to make securities transactions. What would you say about this?

I can say that we do not lack VND because Vietnam is the issuer of the VND. However, we have to consider how much foreign currencies to buy to avoid the possible bad impacts on the VND/US$ exchange rate.

I do not think that foreign investors complain that they lack VND to disburse for investment deals. In such circumstances of the stock market, if foreign investors have VND in hands, they will not very likely to buy stocks.

But foreign investors have to convert dollar into VND to make transactions, and it is very difficult to do this at this moment?

No. The volume of VND foreign investors have in their hands is really profuse. I can say that a big volume of foreign currencies has been converted into VND, but not for buying stocks.

Source: VTC, VNE.