Vietnam News Network

Vietnam News: Local, National, Business, Sport, Entertainment and Technology

Trade LTCUSD, Bitcoin and Cryptocurrencies

BUY & SELL LTCUSD | View LTCUSD News & Updates


Buy Sell LTCUSD, Bitcoin and Cryptocurrencies

Vietnam is world’s 2nd largest gold hoarder   2011-06-16 - Tuoi Tre/SGTT

Vietnam is hoarding between 460 and 1,000 tons of gold worth around US$21 to $45 billion, second only to India, according to figures released last week.


The figures take into account gold held by the people and stored at banks.



The data were released during the conference in Hanoi themed “The effect of the gold market on financial market in Vietnam” held by the National Financial Supervisory Commission, as reported by Sai Gon Tiep Thi.



The World Gold Council ranks Vietnam as among 5 countries with the largest gold hoarding in the world, second after India. Vietnam’s gold takes up 23-29.5% of the world’s total gold during the past 5 years.



Vietnam is among the top 20 countries that buy the most gold jewelries (20 tons per year). Such a high consumption rate has been maintained for the past many years, reported the GFMS gold company during the conference.



Such a high gold hoarding is blamed for exacerbating the dollarization situation in Vietnam, opined some experts.



At the conference, experts suggested abolishing quotas on gold imports and exports, which is attributed to widening the discrepancy between domestic and international gold prices.



Some suggested setting up a “national gold trading floor”, to be supervised by the State Bank of Vietnam. This they said would make the gold market in Vietnam more transparent and help reduce price discrepancies.



The State Bank of Vietnam, the country’s central bank, has proposed the government ban the trading in gold bullion.



The central bank in April also asked commercial banks to cease lending gold in May and stop accepting gold deposits two years from now.



The new rule is an attempt to eliminate the role of gold as a means of payment in Vietnam. It noted that the government will continue to recognize the right of citizens to store gold.



In related news, Vietnam is Switzerland’s single largest source of imported gold products since 2009, the Financial Times recently reported.



Vietnam spent $878 million to import 19.2 tons of gold in the first quarter of this year, up 28 percent in value and 2 percent in volume year on year, according to a recent report from World Gold Council.



Vietnam’s year-on-year demand for gold jewelry and gold bullions for investment has increased by 7 percent to 5.5 tons and 1 percent to 14.2 tons respectively in Q1/2011.



Other news

Supermarket brands’ development causes worries   2011-06-16

Special mechanism needed to attract FDI to infrastructure   2011-06-16

Livestock farms accused of price collusion   2011-06-16

Exporters feel the pinch of high interest rate   2011-06-12

Inflationary ease and worries   2011-06-12

Raw titanium “bleeding” causes millions dollars in loss   2011-06-12

“Black box” promises fat profit to manufacturers   2011-06-12

PM Dung urges US firms to invest more in Viet Nam   2011-06-12

Dollar interest rate decreases bring positive changes to market   2011-06-12

Donors say Vietnam economy still unstable   2011-06-11

Billion-dollar projects become scarcer   2011-06-10

Oversupply brings bitterness to steel manufacturers   2011-06-09

Enterprises and agencies slow to react to shipping surcharges   2011-06-08

Land use purpose transfer brings golden opportunities to investors   2011-06-08