Hanoi (VNA) – Party General Secretary To Lam recommended the completion of a legal framework to better connect the domestic gold market with international markets while speaking at a working session on May 28 with the Party Central Committee's Commission for Policies and Strategies on mechanisms and policies for more effective management of the gold market.
In his concluding remarks, the Party leader acknowledged recent positive improvements in related regulations. However, he also highlighted a number of persistent shortcomings, including outdated regulatory mechanisms, slow reforms, gold smuggling, foreign currency outflows, and monopolistic practices within the market.
The Party chief called for a decisive shift from an administrative mindset to a disciplined market-oriented approach, and from “tightening to control” to “opening to govern.” He stressed the need to eliminate the mindset of banning what cannot be controlled and to ensure the gold market operates in line with market principles under the state's oversight.
General Secretary Lam said it is essential to uphold the principles of respecting property rights, asset ownership, and freedom to do business for both individuals and enterprises. Market transparency must be ensured, and the practice of gold hoarding by people should be recognised as a legitimate form of saving and investment.
He 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 Party chief further recommended expanding regulated gold imports to increase supply and reduce the gap between domestic and global gold prices, as well as cracking down on cross-border gold smuggling. He encouraged the development of Vietnam’s gold jewellery sector with the long-term goal of becoming a regional hub for high-quality production and exports, helping to convert hoarded gold into value-added products.
The leader suggested developing attractive alternative investment channels to draw privately held gold into the economy. He also called for improved management efficiency and stronger inter-sectoral coordination, particularly in efforts to combat gold smuggling. Additionally, he stressed the need to enhance the role of the Vietnam Gold Traders Association as a bridge between businesses and regulatory authorities.
Maintaining macroeconomic stability and public trust in the Vietnamese dong remains a fundamental and long-term solution for shifting resources from gold into productive economic use, the leader affirmed, calling for the prompt establishment of a comprehensive information and data system for the gold market to increase transparency.
✱ 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./.
