Pure gold price reaches fresh peak of over K2.9 mln per tical in domestic markets

The price of pure gold hit an all-time high of over K2.9 million per tical (0.578 ounce or 0.016 kilogramme) in the markets, said gold traders.
The record price is attributed to the Kyat depreciation against the safe-haven US dollar. The exchange rate against a US dollar is worth over K3,200 in the unofficial forex market.
Despite the price spike in the markets, Yangon Region Gold Entrepreneurs Association set the pure gold price at K2,037,000 per tical on 27 August.
The association determined the price depending on the Central Bank of Myanmar’s reference exchange rate against a dollar at K2,100, U Myo Myint, chair of YGEA told the Global New Light of Myanmar.
There is a large gap of over K900,000 between the market price and the YGEA’s set price. The black market might arise again following the soaring dollar, resulting in the suspension of gold bar transactions, U Myo Myint stated.
The authorities also interrogated some gold traders and currency exchange operators accordingly in end-July.
The Monitoring and Steering Committee on the Gold and Currency Market also discussed with the officials involved in gold smelting and refining businesses in Yangon, Mandalay and Mawlamyine cities regarding prospects for gold business on 27 August 2022.
Present at the meeting were officials from the General Administration Department, Bureau of Special Investigation, No 2 Mining Enterprise and municipal office.
During the end of September 2021, a dollar value hit an all-time high of over K3,000 in the gold exchanges and consequently, the pure gold reached a high of K2.22 million per tical.—NN/GNLM