HCMC – Vietnam’s central bank sold over 11 tons of gold from June 3 to October 29 to stabilize the domestic market amid heightened demand.
The State Bank of Vietnam (SBV) carried out 44 direct sales of SJC gold bars, supplying approximately 305,600 taels, or 11.46 tons, to meet consumer needs. One tael is equivalent to 37.5 grams or 1.2 troy ounces.
In a report to the National Assembly, the SBV outlined its strategy to manage the gold market in light of rising global prices and challenges in other investment channels, such as real estate and corporate bonds. Strong demand has been seen in Hanoi and HCMC, fueled by market sentiment and economic forecasts.
Between April and May, the SBV held nine gold auctions, selling around 48,500 taels. However, these auctions did little to reduce the gap between domestic and international gold prices, with domestic prices at one point trading 25% higher than global levels.
In June, the SBV shifted to direct sales to better address the disparity. This approach reduced the gap to 5–7%, although domestic prices remain above international levels. The SBV indicated that further interventions may be considered if necessary and plans to work with relevant ministries to inspect and regulate gold trading.
The central bank also highlighted concerns about potential market manipulation and possible violations of tax or competition laws contributing to the price differences. It cautioned that unresolved disparities could impact monetary policy, currency stability, and incentives for investment in the local currency.
