Purpose: This study investigates the comovements of inflation across ASEAN countries and identifies the global factors driving the common inflation dynamics of the region. Design/methodology/approach: The study uses a two-step approach. The dynamic latent factor model is first employed to...

The objective of this paper is to examine the role of the banking system in the growth of the Vietnamese economy in the process of the transition that started in the early 1990s. An ARDL approach-based multivariate regression technique is applied to shed light on the impact on the growth of...

Vietnam's foreign exchange (forex) market has remained relatively poorly developed despite more than two decades of general economic reform. This paper adopts a market microstructure approach to the investigation of possible reasons underlying this situation. The analysis suggests that the...

Vietnam's foreign exchange (forex) market has remained relatively poorly developed despite more than two decades of general economic reform. This paper adopts a market microstructure approach to the investigation of possible reasons underlying this situation. The analysis suggests that the...

This research tries to find the degree of misalignment of VND by estimating short run and long run equilibrium effective real effective exchange rate (EREER) of VND. By using Engle-Granger (1987) two-step cointegration approach, we identify that trade openness, government expenditure, domestic...

This study shows the short and long-run impact of exchange rate on trade balance in Vietnam. Following a depreciation of real exchange rate, trade balance initially deteriorates. Trade balance will improve after four quarters and new equilibrium will be set after twelve quarters. Autoregressive...