Vietnam plans gold trading floor to boost market transparency, stability

PM Chinh issued the directive while chairing a working session in Hanoi on Saturday with deputy prime ministers and representatives from ministries, agencies, associations, and businesses.

The session focused on measures to improve the operation of the domestic gold market toward greater stability, efficiency, and sustainability.

He called on relevant authorities to step up inspections, supervision, and enforcement to crack down on shadowy practices such as market manipulation, gold smuggling, and other illegal activities.

The official tasked the SBV, the Ministry of Finance, and other relevant agencies with creating a dynamic business environment that encourages entrepreneurship over gold hoarding among the public.

He also directed that a regulated gold trading floor, where individuals are free to buy and sell under transparent rules, be established soon to support the sustainable development of the gold market.

Such a platform, he noted, could help formalize and facilitate gold trading through clear and well-regulated transactions.

As a key step toward stabilizing the market, Chinh emphasized the need to increase supply and curb speculative demand through various measures, including breaking monopolies, allowing more enterprises to participate in gold trading, and applying tax, fee, and fiscal tools to discourage speculation.

He called for a clear separation between the state's regulatory role and the business activities of gold production and trading to avoid conflicts of interest.

PM Chinh also called for narrowing the gap between domestic and international gold prices to just 1-2 percent from the current level of over 10 percent in order to mitigate negative impacts on the market.

Additionally, relevant agencies were asked to promote the production and craftsmanship of gold jewelry to generate more employment opportunities.

Regarding legislation, PM Chinh ordered the expedited revision of Government Decree 24 – issued in 2012 to regulate gold business activities – saying it must be updated to reflect current economic conditions and better meet the market's needs.

The amendment, he said, must be ready for consideration in June.

He also directed the development of a national gold market database, to be completed within this same month, to serve as a foundation for policy-making that supports the sustainable development of the domestic gold market.