According to VietNamNet’s on-site report, gold demand remained very high in the city. At Mi Hong gold store on Bui Huu Nghia Street (Gia Dinh Ward), a long line of customers had formed even before opening at 8 a.m.

“I arrived here at 7 a.m. to buy two chỉ (approximately 7.5 grams),” said Nguyen Thi Chi from Duc Nhuan Ward, Ho Chi Minh City.

Security staff continuously instructed customers to line up in order. The store only allowed 10 people inside at a time for transactions, while others had to wait their turn outside.

Despite record-high prices, the gold purchasing counter saw long lines, while the selling counter remained mostly empty. Gold jewelry, meanwhile, received little attention.

At Saigon Jewelry Company Limited (SJC) on Nguyen Thi Minh Khai Street (Ban Co Ward), by around 9 a.m., security had already closed the queue area for buying gold. A guard stated that the store only permitted 100 customers to buy gold bars. Purchases of other gold products were minimal.

Opening trading on August 28, SJC gold bar prices surged by VND 700,000 per tael for buying and VND 200,000 for selling, reaching VND 126.7 - 128.2 million per tael (USD 5,300 - 5,360). This marked another historic high for domestic gold.

The price fever persisted even after the government issued Decree 232/2025 on August 26, amending and supplementing Decree 24/2012 on gold business management.

Dr. Nguyen Tuan Anh, a finance lecturer at RMIT University Vietnam, believes the new policy will positively impact Vietnam’s gold market by increasing competition and transparency.

Under the previous Decree 24/2012, SJC had a monopoly on gold bar production, leading to supply shortages and domestic gold prices exceeding international prices by around VND 20 million (USD 835) per tael. This disparity encouraged smuggling and foreign currency leakage.

Now, under the new policy, enterprises with a minimum charter capital of VND 1 trillion (USD 41.7 million) and commercial banks with at least VND 50 trillion (USD 2.1 billion) are eligible to apply for licenses to produce and import raw gold.

Ending the monopoly is expected to boost raw gold imports and expand supply, helping close the domestic-international price gap. Stable supply will deter hoarding, reduce smuggling, and increase market trust.

“The market will become more competitive with diverse gold bar brands, driving innovation and efficiency, similar to Thailand’s model. There, gold trading is widespread and domestic prices closely track international rates. Thailand is also one of Asia’s largest gold markets,” Tuan Anh explained.

He also noted that requiring gold transactions over VND 20 million (USD 835) to go through bank accounts will improve transparency and reduce money laundering and tax evasion.

However, he cautioned that in the short term, gold supply may temporarily tighten as businesses need time to prepare applications and await licenses. The State Bank of Vietnam has up to 30 working days to review complete applications and continues to tightly monitor the market.

Regarding prices, the new policy may help cool domestic gold prices, though not immediately. Global factors like inflation still heavily influence prices. Continued demand for safe-haven assets may keep prices high.

“The price peak after August 26 reflects a wait-and-see sentiment. In the long run, prices should stabilize. For the policy to be effective, the central bank must intervene in time, such as by selling reserves and managing import quotas,” Tuan Anh concluded.

“Overall, this policy will relatively ease domestic gold prices, but optimal results depend on combining it with inflation control measures.”

Tran Chung