Pure gold price surges to over K2 million per tical

The domestic market sees gold bounce again to up to K2,016,000 per tical (0.578 ounce, or 0.016 kilogramme) in 2022, according to Yangon Region Gold Entrepreneurs Association (YGEA).
The rise in domestic gold price is tracking the global price, which stands at US$2,018 per ounce. Additionally, the US dollar exchange rate is worth over K2,000 in the local forex market at present.
The domestic gold price is highly correlated with the global gold price so it remains an upward trend, U Myo Myint, chair of YGEA stated.
The price of safe-haven assets is unlikely to fall in the coming months. Only when Kyat strengthens against the US dollar in the local forex market and the global gold price slides can the domestic gold price fall, U Myo Myint quoted in his saying.
Last 28 September 2021, a dollar value hit an all-time high of over K3,000 in the black market and consequently, the pure gold reached a record high of K2.22 million per tical in history.
Under the guidance of the Central Committee on Ensuring Smooth Flow of Trade and Goods, the Monitoring and Steering Committee on Gold and Currency Market was formed on 17 December 2021 as gold and currency market stability play a crucial role in trade facilitation.
The objectives of the committee are inspecting and prosecuting market manipulation, checking if there is compliance to payment rules or not, proceeding against those unscrupulous traders who intend to interfere with the free and fair operation in the market under the existing laws, by-laws and regulations in line with the official directives, illegal procurement of foreign currency, illegal trade and taking legal actions against price manipulators.
Furthermore, the officials concerned will crack down on those people involved in charging a percentage for money withdrawals at the banks as shadow money. — NN/GNLM