Irrawaddy-Jan 21
Myanmar’s domestic gold price has surged to fresh highs above 10 million kyats per tical, mirroring a sharp rise in global markets, but traders report sluggish activity amid junta price controls. A Yangon gold dealer told The Irrawaddy that trading remains limited despite well-off families turning to gold as a safe asset. The junta-controlled Yangon Region Gold Entrepreneur Association (YGEA) has set the reference rate at 6 million kyat per tical, threatening action against dealers who fail to comply. Trade has since slowed sharply, with bullion transactions largely confined to insiders. Dealers say they are refusing bulk purchases and only selling after recalculating prices in line with global markets. “We’re not selling to outsiders the way we used to,” another trader said. The junta’s Gold and Currency Market Monitoring and Regulation Committee has instructed the Myanmar Gold Entrepreneurs Association (FMGEA) and the YGEA to ensure “disciplined” trading to prevent sudden spikes in domestic prices. Gold demand has surged since the 2021 military coup plunged Myanmar into a civil war and economic collapse. As the kyat collapsed under international sanctions and withdrawal of foreign investment, people turned to gold, property and US dollars as safer stores of value. Read more at: https://www.irrawaddy.com/business/myanmars-gold-haven-evaporates-as-junta-caps-surging-price.html
