The State Bank has cancelled another gold auction due to a lack of interest, Vietnam News is reporting. Gold auctions were floated as one way to reduce the price of gold in Vietnam, however, thus far there have only been two successful buyers with the price set by the State Bank, and the minimum volume, widely reported to be too high.
Of note, the gold price in Vietnam is often much higher than the world gold price, currently about 15 percent higher. This is due to Decree 24 issued in 2011 which restricted gold imports and exports to one company that can only do so with permission from the State Bank of Vietnam. Permission to import gold, however, has not been granted for over a decade. This has led to a mismatch in supply and demand pushing up the price.
For more information see: The Gold Price in Vietnam: Explained 2024