Thach Phuoc Binh, a member from the southern province of Vinh Long, said at a National Assembly meeting Thursday that the country’s gold consumption of 55 tons last year exceeded that of Thailand (48.8 tons) and Indonesia (47.3 tons).
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A customer looks at gold jewelry in a shop in HCMC in February 2025. Photo by VnExpress/Quynh Tran |
It was for a third year in a row that Vietnamese consumers had bought more than 55 tons, according to the World Gold Council. The figure comprises jewelry, bars and coins.
But most of the gold remains in people’s safes, a huge resource that has not been converted into capital to fund economic expansion, Binh said.
Gold is typically more expensive in Vietnam than elsewhere, with the gap occasionally widening to VND20 million (US$760) per tael this year.
Binh said the root cause for this is the lack of a transparent, modern and safe gold market for investors.
In the event, he proposed setting up a national gold exchange where people can deposit physical gold in vaults and get electronic certificates for them that could be trading.
With the exchange, other investment products could also be developed such as gold investment funds and gold-backed bonds, he said.
People could benefit from gold price gains while also enabling idle capital to be used.
“If we can bring 10-15% of the gold people possess into the financial system, it will be a precious source of funding for infrastructure, digital transformation and technological innovation and preclude the need to increase public debt.”
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Lawmaker Thach Phuoc Binh speaks at a National Assembly meeting on Oct. 30, 2025. Photo courtesy of the National Assembly |
Domestic gold prices have repeatedly set new records this year, prompting people to queue for hours to buy the precious metal amid low supply.
Bullion trades at VND148.9 million per tael at the time of publishing, a 77% rise since the start of the year.
The legal framework required for establishing a gold exchange is being studied by the State Bank of Vietnam, Deputy Prime Minister Le Thanh Long said.
“This new model will transparentize transactions, and will hopefully help control the market.”
