HÀ NỘI — Việt Nam should consider removing the monopolies in gold imports and production to ensure the transparency, efficiency and sustainability of the gold market. Together with the general Vietnamese preference of keeping gold as a means of reserve to hedge against inflation and risks, the monopolies cause unbalance of supply and demand in the gold market, causing domestic gold prices to differ widely from world prices. The gold trading market should be developed with a diversification in methods rather than physical gold, such as gold derivatives and certificates, which would help ensure flexibility in management and prevent the hoarding of physical gold in safes. The equality of physical gold and the removal of SJC-branded bullion’s monopoly should be considered.”“Gold should be considered a normal product. Nguyễn Thế Hùng, Deputy President of Việt Nam Gold Trading Association, said that in major economies, central banks do not manage gold trading directly, as gold is considered a normal product.

Source: Viet Nam News January 26, 2024 09:22 UTC