VietNamNet Bridge – The Government Inspectorate on Monday announced it would check if the State Bank of Vietnam (SBV) had fulfilled its responsibility towards gold trading and gold mobilization and lending.

According to Decision 846/QD-TTCP dated April 16, 2013, the period for review is from January 2009 to March 2013, which is subject to extension in case of necessity. The inspection will last 60 days since the date the decision is announced.

The inspection team will consist of four members, headed by Dang Khanh Toan, director general of the Department for Internal Affairs and General Economic Inspection (Department II) under the Government Inspectorate.

The Government Inspectorate on Monday also announced Decision 860/QD-TTCP dated April 17, 2013 on establishment of a supervision group in charge of watching over the inspection team.

The group is headed by Duong Van Phan, deputy director general of the Department for Post-Inspection Supervision, Evaluation and Handling at the Government Inspectorate.

The local gold market has witnessed a lot of fluctuations recently. Gold price suddenly went down last week, urging people to buy gold. The gap between the local and global gold prices remains wide, sometimes reaching VND6 million.

However, SBV is inconsistent in the policy for management of the gold market. In November last year, Governor Nguyen Van Binh told the National Assembly that it was not necessary to bridge the local-global gold price gap since it did not greatly affect the macro-economy.

However, the central bank has recently taken several moves to close such a gap, holding consecutive gold auctions to supply nearly ten tons of gold to the market.

Source: SGT