Hanoi (VNA) - Lawmakers have expressed their support for Party General Secretary To Lam's directive on gold market management, agreeing that ending the State's monopoly on gold bullion will help address price disparities between gold brands.
At a May 28 working session with the Party Central Committee's Commission for Policies and Strategies, the Party chief requested that the State's monopoly on gold bullion branding should be dismantled in a controlled way, with the principle that the government retains oversight of bullion production. However, licences can be granted to qualified enterprises to participate in gold bar manufacturing, thereby fostering a level playing field, diversifying supply sources, and contributing to price stability in the market.
The General Secretary pointed to the need to focus on researching and proposing a set of suitable, phased solutions for early implementation. These may include learning from international experiences to recommend the establishment of a national gold exchange, permitting gold trading on the commodities exchange, or setting up a dedicated gold trading platform within Vietnam’s planned international financial centre, among other options.
On the sidelines of the 9th session of the 15th National Assembly on May 29 morning, legislators said adjustments to the gold bullion market policy should be implemented years ago, rather than delayed until now, in order to narrow the gap between domestic and global gold prices and to better control gold bullion smuggling across borders, which remains challenging.
Tran Anh Tuan from Ho Chi Minh City said shifting to a market-based management approach, allowing qualified enterprises to join the production, trading, and distribution of gold as a regular commodity, would help narrow the price gap.
It is necessary to open the door wider for capable enterprises, he stressed, noting that as supply increases, the market will have more options, domestic prices will gradually align with global prices, thereby helping to stabilise the market and curb cross-border gold smuggling.
In addition, barriers to domestic gold bar production should be gradually removed, and the mechanism should be expanded to allow all qualified businesses to join under the State control through common regulations and a tightly monitoring technological system, he added.
Sharing Tuan’s opinions, Trinh Xuan An from Dong Nai province affirmed that the Party leader’s directives on gold market management is essential and well-founded in both realities and legal frameworks.
The revision of Decree No. 24/2012/ND-CP on management of gold trading activities, which becomes outdated and no longer aligns with current market conditions, must be thoroughly and prudently studied, he said, noting that enterprises with proven capacity should be permitted to import, exploit, process, and trade gold bullion.
Allowing the gold market to operate underground and lack transparency may lead to financial risks and threats to economic security, he went on.
According to An, the management work should be based on supply–demand principles, without specific interventions such as determining who is allowed to buy or sell gold. Assigning credit institutions to sell gold runs counter to market economy principles.
An also agreed with the solution proposed by the Party chief regarding the establishment of a national gold exchange, however, he noted that such an exchange must be professionally and transparently managed—not an impromptu trading floor as in the past, nor a hub for virtual gold speculation.
All products introduced to the market must have clear origins to prevent the exchange from becoming a tool for money laundering or a haven for illicit activities, he went on./.
VNA
