"At present the State Bank does not have any plans for exchange rate adjustment," Governor Nguyen Van Giau was quoted by the Saigon Giai Phong daily as saying, rejecting market rumours of a dong devaluation.

Speculation of another devaluation is putting pressure on the dong VND=VN, making businesses reluctant to sell dollars to banks, bankers said on Monday.

However, the dong edged up to 19,870/19,920 per dollar on the unofficial market on Tuesday morning from 19,920/19,970 on Monday, while it was steady at 19,490/19,500 dong on the interbank market, with the selling rate at the ceiling.

Dollar demand has been rising as businesses need the currency for loan repayments and importers need dollars for settlements, given the strong performance of Vietnam's economy, the Thanh Nien daily quoted a state-run bank executive as saying.

Reuters - October 19, 2010