The Prime Minister has instructed relevant agencies to study the formation of a national gold exchange, allowing the public to freely trade and transact gold. Simultaneously, he emphasized the need to crack down on smuggling and suppress elements involved in hoarding and manipulating the market.

On the evening of May 24, at a meeting of the Government’s Standing Committee focused on gold market management, Prime Minister Pham Minh Chinh addressed several pressing issues surrounding the recent volatility in the gold sector.

These include the widening gap between domestic and international gold prices, manipulative behavior and stockpiling by some market players, inflated pricing, and ongoing challenges in tackling smuggling.

The Prime Minister also noted that management efforts have at times been lax or misaligned with market realities, failing to reflect the conditions of a market economy.

Looking ahead, he emphasized the importance of effective gold market regulation to support macroeconomic stability, inflation control, and growth promotion. He stressed the need for policies that harness gold held by the public as a resource for national economic development - while also preventing market manipulation and smuggling.

He tasked the State Bank of Vietnam with reinforcing state management and swiftly reducing the domestic-international gold price gap to around 1–2%, as opposed to the recent disparity of over 10%.

The central bank is required to implement solutions to increase supply - such as involving more enterprises in gold trading - and reduce demand.

Additionally, it must strengthen inspections, monitoring, and law enforcement to strictly penalize smuggling, price manipulation, and stockpiling activities that distort the market.

The Prime Minister directed a streamlined revision of Decree 24 on gold trading to reflect current conditions, alongside a comprehensive review and development of a gold market database. These tasks must be completed by June 2025.

In the long term, the State Bank, Ministry of Finance, and relevant agencies are assigned to enhance the business environment, ensuring it remains safe, transparent, and conducive to production, entrepreneurship, and investment - reducing the need for individuals to hoard gold as a form of savings.

At the same time, the government will study the establishment of a regulated gold exchange where people can trade freely, with a clear separation between state regulatory functions and commercial gold business activities.

The Prime Minister also urged improved public information and communications efforts to dispel fears about holding gold. Furthermore, he encouraged investments in systems enabling the automatic issuance of electronic invoices via point-of-sale devices for gold retailers.

Tam An