Gold ring prices in Vietnam reached historic highs by the end of last week, with selling prices climbing to VND 83.45 million or US$,3387 per tael, according to Vietnam News. These figures represent an all-time record for gold rings, as rising demand continues to drive up prices in the local market.
For context, the gold price in Vietnam is more often than not much higher than it is in the rest of the world. In fact, in 2023, at its peak, the price of a gold bar in Vietnam was around 20 percent higher owing to a number of factors including huge demand and limited supply, the latter due to regulations that restrict gold imports and exports and gold bar production.
The State Bank has tried to remedy this price differential by selling gold bars into the market from its reserves at below local market rates. However, whereas this has stabilised gold bar prices, gold rings, production of which is not regulated, have surged.