SBV to be sole gold exporter

“The State Bank of Vietnam (SBV) will hold the exclusive rights to directly export gold or designate relevant agencies or credit institutions to conduct the trading on its behalf”, said Nguyen Van Binh, Governor of SBV.

The development of a comprehensive and flexible legal framework for gold trading management is well under way with a view to ensure market-based operations are under control.

In the meantime, he suggested that gold import and export should be viewed normal businesses of the economy.

Jewellery that has more than 80 percent gold content is levied a 10 percent export tax under the Ministry of Finance’s regulation so as to deter material gold export. Appropriate rules of exporting and importing material gold will come soon, so will regulations on gold prices.

In respect of foreign currency market, the first and foremost objective is dong’s stabilisation. Foreign exchange rate adjustments from now till the end of the year, if applicable, will be no more than 1 percent.

This week has witnessed large fluctuations in gold prices on both inter-bank and free markets. In reality, the current demand for foreign currencies is not strong, even for oil and petrol import. However, the governor admitted much price making in the inter-bank market which has driven forex rates up and down dong100-200 per dollar per day.

Also, he revealed that such immediate instruments as foreign currency selling could be conducted in the event of arising issues in the relation between demand and supply thanks to the central bank’s strong foreign currency reserves

Tags: vietnam gold, Vietnam gold market, Vietnam gold prices