This initiative aims not only to address recent fluctuations in gold prices but also to create a transparent market framework that promotes macroeconomic stability and monetary policy coherence.
The PM's call for urgent implementation reflects a strong policy commitment to resolving long-standing issues in the gold market, including speculation and manipulation, while gradually channelling public gold reserves into the economy.
In a statement on January 24, PM Pham Minh Chinh instructed the State Bank of Vietnam (SBV) to complete necessary research and evaluations to report to the government.
The National Assembly has previously urged the Government to develop a comprehensive plan to stabilise the gold market, marking a pivotal shift in the country's approach to gold management, which has heavily relied on administrative measures for over a decade.
The recent amendments to Decree 232/2025/ND-CP have ended the state monopoly over gold production, paving the way for a market-driven approach.
Experts anticipate that the establishment of a national gold exchange will standardise pricing and enhance market transparency.
Dr Can Van Luc, chief economist at BIDV, said that the key issue goes beyond merely having a gold exchange. It involves clearly defining which types of gold need to be managed. Investment-grade bars and gold reserves should be strictly regulated, whereas jewellery, being consumer-orientated, requires a different framework.
To mitigate systemic risks, he recommended gradually disclosing gold inventory data and eliminating informal borrowing practices backed by gold, which have been sources of instability.
He also stressed the need for a robust legal framework to support the exchange, improving conditions for gold imports and domestic production.
As Vietnam currently faces significant discrepancies between domestic and international gold prices, experts suggest that increasing the legal supply through standardising gold bar specifications and lowering production costs will be urgent measures.
A centralised and transparent pricing mechanism will significantly reduce discrepancies and speculation driven by rumours.
The SBV views the gold exchange as a multi-faceted component that can positively influence macroeconomic stability. The proposed exchange will facilitate the standardised buying and selling of gold, including both physical and non-physical forms, among market participants.
Despite its advantages, the establishment of a gold exchange must be approached with caution, especially considering the close ties between the gold market and monetary policy.
The initial phase is expected to focus on physical gold traded domestically before expanding to gold bars and, eventually, derivative products.
Nguyen The Hung, vice president of the Vietnam Gold Business Association (VGTA), affirmed the potential for a modern gold exchange in Vietnam, contingent on a structured timeline. The initial phase should permit the import of internationally certified gold materials, adhering to strict requirements for facilities, technology, and reporting obligations.
The VGTA believes that a gold exchange will provide significant advantages by recording all transactions, thereby minimising speculation, manipulation and the risk of creating price bubbles.
However, caution is warranted to prevent unqualified enterprises from participating in imports or production overwhelmingly.
The association suggests a gradual rollout: first serving production and distribution, then expanding the distribution system, and only developing derivative financial products when regulatory frameworks are well-established.
Experts agree that a clearly designed legal framework would enhance public confidence in the gold market, reducing the tendency for gold hoarding among the populace.
Transparency in gold prices, based on international benchmarks, will likely reduce smuggling and black-market operations.
Ultimately, establishing a national gold exchange should become a cornerstone for stabilising and modernising Vietnam's gold market, enhancing both the regulatory framework and the efficiency of market operations in the long term.
Yesterday, the SJC gold bar was quoted at VND176.3 million (US$6,793.84) per tael for sellers and VND179.3 million for buyers.
On the international trading exchange, spot gold reached US$4,966 per tael. At the current price, the price gap between domestic and international gold prices is nearly VND23 million.
