The spot gold price gained to US$1,930 per ounce, prompting the Yangon Region Gold Entrepreneurs Association (YGEA) to set the reference price higher to K3,020,000 per tical (0.578 ounce or 0.016 kilogramme) in mid-October.
The spot gold price surged to $1,933 per ounce on 14 October from $1,820 in early October, indicating an increase of over $100 within two weeks.
Pure gold fetches K3.42 million per tical in the grey market, showing a price gap of K400,000 per tical between the YGEA’s reference price and unofficial market value.
Yangon Gold Entrepreneurs Association (YGEA) switched to the Central Bank of Myanmar’s exchange rate (K2,900) for interbank transactions in calculating the reference price for pure gold. At present, the US dollar is exchanged at K3,350.
Therefore, the YGEA’s reference price and current market value differ depending on the US dollar exchange rate.
Myanmar’s gold price is highly tied to the spot gold price and US dollar exchange rate. The soaring dollar exchanging up to K4,000 drove the gold price up to a record high of K4 million per tical in late August 2023. — NN/EM
YGEA sets gold reference price higher as spot gold price rises
- October 15, 2023
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