There’s currency devaluation, and then there’s Currency Devaluation.
The US and the EU sometimes get accursed of the former.
The latter is what Vietnam has done today, weakening its currency the dong by 8.5% in a bid to boost exports at a time when its economy is sputtering, its debts are burdensome, and inflation feels out of control.
The question is whether this puts pressure on its neighbours to do something similar to keep relative competitiveness.
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