Vietnamese Citizens Hold 400-500 Tons of Gold, Mostly Locked in Safes – National Assembly Representative Reveals

During the National Assembly’s socio-economic discussion session on October 30th, Delegate Thach Phuoc Binh (Vinh Long delegation) proposed that the government promptly develop a comprehensive plan to mobilize approximately 500 tons of gold held by the public. He emphasized this as a “static resource that needs to be transformed into a vital force for the economy.” Binh highlighted this as one of the two significant capital pools lacking synchronized, transparent, and efficient management mechanisms.

According to Delegate Thach Phuoc Binh, the World Gold Council’s report indicates that Vietnamese citizens hold around 400–500 tons of gold, valued at 35–40 billion USD, accounting for nearly 8% of GDP. Annually, Vietnam consumes approximately 55 tons of gold, placing it among the region’s highest consumers.

“However, most of this gold remains ‘locked away,’ unused in circulation, representing an untapped resource yet to be converted into capital for economic development,” the delegate pointed out.

In 2024 and early 2025, the price gap between domestic and international gold prices exceeded 14 million VND, even reaching 20 million VND per tael. This disparity reflects market instability and speculative hoarding. While the State Bank intervened through gold bar auctions, this remains a short-term solution. The root cause lies in the absence of a transparent, modern, and secure market mechanism for citizens.

Delegate Thach Phuoc Binh proposed five specific solutions to “financialize” the public’s gold holdings. First, stabilize the market by reducing the price gap between domestic and international prices to below 5 million VND per tael within 6–12 months, control speculation, and allow controlled gold imports.

Second, establish a National Gold Exchange—a groundbreaking institutional move enabling citizens to deposit physical gold into custodial vaults, standardize electronic certificates for trading, pledging, or conversion. This solution aids state management of real gold flows while ensuring legal ownership for citizens.

Third, develop gold-linked financial products such as gold certificates, gold investment funds, and gold-backed bonds secured by physical gold reserves. Fourth, encourage gold-to-VND conversion through free custodial services, interest rate incentives, or issuing government gold bonds.

Fifth, ensure system safety and information transparency by prohibiting banks from mobilizing or lending in gold, while regularly publishing a National Gold Bulletin to provide citizens with comprehensive market information, fostering trust.

“If just 10–15% of the public’s gold—equivalent to 5–7 billion USD—is channeled into the financial system, it would be a valuable capital source for infrastructure development, digital transformation, and technological innovation without increasing public debt,” Delegate Thach Phuoc Binh asserted.

He emphasized that mobilizing public resources is feasible only when the state manages its resources transparently and efficiently. The delegate urged the National Assembly to task the government with developing a comprehensive plan for mobilizing and managing resources from non-budget state financial funds, integrating two pillars: institutionalizing transparent and efficient state financial funds, and establishing a safe, modern, and integrated mechanism for mobilizing public financial resources.

This strategic institutional reform will expand fiscal space, enhance economic resilience, and strengthen societal trust—the cornerstone for the nation’s sustainable development.