The deputy governor of the State Bank of Vietnam, Le Minh Hung, yesterday attended a media conference to respond to questions regarding which gold bar brand name will be chosen as a state brand.
The official also took questions on how deformed gold bullion will be treated, which was a concern of many consumers who are holding gold bullion of different brand names.
Hung said under decree no. 24, which took effect on May 25, the government will be the monopoly in processing gold bullion, and it has assigned the central bank to manage the gold trading market.
Consequently, all of the licenses granted for gold manufacturers, including Saigon Jewelry Co (SJC), have expired since the issuance of the decree.
With SJC holding 95 percent of the gold bar market, and enjoying a high reputation for its quality and prestige, the central bank has decided to choose SJC as the state brand of gold bullion, said Hung.
“The move was intended to save expenses for the government and society, as well as avoid messing up the gold market,” he explained.
Hung asserted that at the moment, SJC is not allowed to process new gold bullion.
“SJC is allowed to continue its gold trading activities, except for making new gold bars as this is something that should be exclusively implemented by the central bank,” he added.
Although SJC is the state brand, gold bullion of other brand names that have been previously licensed are now still eligible for circulation.
Regarding the public complaint that SJC is now refusing to buy back deformed SJC gold bars, Hung said the central bank will allow the company to reshape the bars to protect consumers’ rights.
But he failed to set the exact timing for the process.
“The central bank will announce the policies in the shortest possible time,” he said.
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Hung said under decree no. 24, which took effect on May 25, the government will be the monopoly in processing gold bullion, and it has assigned the central bank to manage the gold trading market.
Consequently, all of the licenses granted for gold manufacturers, including Saigon Jewelry Co (SJC), have expired since the issuance of the decree.
With SJC holding 95 percent of the gold bar market, and enjoying a high reputation for its quality and prestige, the central bank has decided to choose SJC as the state brand of gold bullion, said Hung.
“The move was intended to save expenses for the government and society, as well as avoid messing up the gold market,” he explained.
Hung asserted that at the moment, SJC is not allowed to process new gold bullion.
“SJC is allowed to continue its gold trading activities, except for making new gold bars as this is something that should be exclusively implemented by the central bank,” he added.
Although SJC is the state brand, gold bullion of other brand names that have been previously licensed are now still eligible for circulation.
Regarding the public complaint that SJC is now refusing to buy back deformed SJC gold bars, Hung said the central bank will allow the company to reshape the bars to protect consumers’ rights.
But he failed to set the exact timing for the process.
“The central bank will announce the policies in the shortest possible time,” he said.
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