Gold And Vietnam
♫ Thursday, October 21st, 2010In the next few days the price of gold is about to increase especially because Vietnam is going to allow the companies to import gold. In a statement released a few days ago the government of Vietnam declared that they are going to permit the import of the precious metal.
This is occurs because the Vietnamese market needs to be stabilized especially after the domestic prices rose more than before this week. The glittering metal has always been a sought after investment in Vietnam. On the one hand because there has been a very long period of consumer price inflation and on the other hand because there have been some devolutions in the Vietnamese Dong that have left the consumers unconfident in the local currency.
When the government of Vietnam will allow this to happen the price of gold around the world will increase significantly. Because of the Indian festival season the demand for the glittering metal has also risen. Financial experts say that the price of gold will go through the step of 1.400 dollars an ounce in the days to come because there is an increased demand of precious metal from China and India. Also in addiction to this the imports of gold in Vietnam will make the price of gold skyrocket.
These imports will only increase the domestic price of the glittering metal that will most surely rise above the prices of the precious metals on the international market. However, it can also have a very negative impact on the Southeast Asian import bill making the trade deficit even more complicated than it was.
There have been times when the prices in Vietnam have overcome the world prices. The price of the precious metal reached the amount of 33 million dong in Asia a few days ago, this is 1.693 dollars per ounce. This would mean that the Vietnamese companies will have to obtain licenses from the government in order to import gold. This glittering metal is one of the four major investment commodities for the Vietnamese citizens.
