Vietnam central bank determined to dampen gold price appreciation

The State Bank of Vietnam (SBV) will not let domestic gold prices jump much higher above the world gold price, deputy governor Dao Minh Tu told a press briefing on Wednesday. Tu emphasized that the significant disparity in gold prices between Vietnam and the global market is deemed unacceptable. The government respects residents' rights of storing and trading gold, but it disapproves of the gap in gold prices between the country and the world reaching nearly VND20 million (US$826) per tael. Tu also underlined that the central bank takes a dim view of the wide gap in gold prices between Saigon Jewelry Company (SJC), the largest gold firm in Vietnam, and other gold suppliers. The central bank will not shield the prices of SJC-branded gold bullion, Tu said.