HANOI Feb 11 The International Monetary Fund
welcomed changes to Vietnam's currency regime and devaluation on
Friday, but said the authorities needed a "broader set of
policies" to restore macroeconomic stability.
"We welcome the move to normalise operations in the foreign
exchange market, by closing the gap between the official and
parallel exchange rates. We also welcome the intention to move
to a more flexible exchange rate regime," the Fund's senior
representative in Vietnam, Benedict Bingham, said.
"For this new regime to be stable, it will need to be
underpinned by a broader set of policies to restore
macroeconomic stability. In particular, monetary policy will
need to focus more decisively on containing inflation, and
fiscal policy will need to be put on a clearer consolidation
path to contain public debt."
(Reporting by John Ruwitch; Editing by Tomasz Janowski)