Vietnam proposes mandatory cashless payments for gold trades over $785

Vietnam's State Bank has proposed a new regulation requiring all gold transactions exceeding 20 million Vietnamese dong (approximately $785 USD) to be conducted via non-cash payment methods. This proposal, submitted to the Ministry of Justice for review, aims to enhance the management of the gold trading market.

Under current regulations, gold purchases of 20 million dong or more must be settled through bank accounts. The proposed amendment broadens this to include various non-cash payment instruments, such as checks, bank transfers, payment orders, credit cards, and e-wallets, as stipulated by law.

However, the Ministry of Science and Technology has raised concerns, suggesting a review of the 20 million dong threshold to align with current gold prices and market practices. They also recommended considering exceptions for objective reasons to avoid disrupting legitimate transactions.

The State Bank responded that the 20 million dong limit is consistent with existing regulations and has been assessed based on market realities, management needs, and payment infrastructure capabilities. They believe maintaining this threshold ensures policy stability and avoids disruption. Regarding exceptions, the bank argued that the widespread availability of non-cash payment infrastructure makes such allowances unnecessary and could create loopholes, hindering policy effectiveness and oversight.