Also the monetary policy impact to the interest rates. For example, in situation the bank of the government is control the monetary policy by interest rates to stable the economy. If the economy has high inflation , the bank of the government will increase interest rates then the amount of interest money has reduced and the inflation has restrained. However, restraining inflation is make the corporate very difficult to expanding business because when inflation has restrained, it mean the government have to increase interest rates and the corporate cannot loan money from the bank with high interest rates. But when the economy be slowdown , the government will decrease interest rates to promotion the corporate loan money from the bank to investing and expanding business.With the corporate like Cargill, the corporate is operate in Vietnam. The fiscal policy and the monetary policy are strong impact to them. There is a chart show the status of inflation rate in Vietnam in recent years:
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