Which businesses and banks will be allowed to produce gold bars?

(NLDO)- Enterprises considered for a license to produce gold bars must have a charter capital of VND1,000 billion or more; and banks must have a charter capital of VND50,000 billion or more.

The Ministry of Justice has just announced the appraisal dossier of the Draft Decree Amending and supplementing a number of articles of Decree No. 24/2012 of the Government on the management of gold trading activities.

In this amendment, the State Bank of Vietnam (SBV) proposed to abolish the contents on: State monopoly on production of gold bars, export of raw gold, import of raw gold to produce gold bars.

Gold bar production; gold bar trading; gold jewelry and fine art production are conditional business activities and must be granted a gold bar production license; a gold bar trading license; and a certificate of eligibility for gold jewelry and fine art production by the State Bank.

Conditions for granting a license to produce gold bars

Enterprises are considered by the State Bank to be granted a License to produce gold bars when they meet the following conditions: Having a Business License to buy and sell gold bars; having a charter capital of VND 1,000 billion or more; not being administratively sanctioned for violations in gold trading activities or being administratively sanctioned for violations in gold trading activities but having completed remedial measures; having an internal process regulating the production of gold bars.

The State Bank shall consider granting a license to produce gold bars to commercial banks when they meet the following conditions: Having a license to buy and sell gold bars; having a charter capital of VND 50,000 billion or more; not being administratively sanctioned for violations in gold trading activities or being administratively sanctioned for violations in gold trading activities but having completed remedial measures.

The State Bank of Vietnam considers granting licenses to import raw gold for the production of gold jewelry and fine arts to enterprises that have been granted certificates of eligibility to produce gold jewelry and fine arts by the State Bank of Vietnam.

According to the State Bank, the above conditions are stipulated to ensure that commercial banks and gold bar production enterprises are experienced organizations with sufficient financial capacity and comply with the law on gold trading activities to produce gold bars.

This is also a necessary basis for businesses and commercial banks to immediately start producing gold bars when they are granted a license to produce gold bars, meeting the urgent requirement of effectively managing the gold market in the current context, ensuring the principle that the State still manages the production of gold bars.

Source: https://nld.com.vn/doanh-nghiep-ngan-hang-nao-se-duoc-san-xuat-vang-mieng-196250712220219804.htm