HANOI, April 7 (Xinhua) -- The State Bank of Vietnam, the country's central bank, is trying to squeeze excess liquidity and to ensure that year-on-year credit growth does not exceed 30 percent, local newspaper Vietnam News reported Monday.

    "The tools the bank is using include adjusting interest rates, foreign exchange rates, and compulsory reserves and issuing treasury bills," the newspaper quoted the bank's governor Tran VanGiau as saying.

    Making mandatory for them to buy treasury bills has been necessary and will help reduce liquidity and address inflation, he said, adding that the bill issuance is slated to open on May 21.

    Early this year, the central bank gave commercial banks 45 days to increase their compulsory reserves from 10 percent to 11 percent. Last year, the banks got only 33 days to double their reserves from five percent.

    Vietnam gained economic growth of 7.4 percent in the first quarter of this year, and consumer price index of 9.19 percent in March.