CNI News

26 August 2022

If the domestic gold price exceeds 2,800,000 kyats per tical, it will rise to 3,000,000 kyats, said Gold market analyst Ko Ne Lin to the CNI news agency.

Although the price of gold is stable around 2,600,000 and 2,700,000 kyats per tical currently, the price has risen up to 2,850,000 kyats per tical according to the gold market.

Gold market analyst Ko Ne Lin said, “It will not fall below 26 again. Even if it falls, it’s around 2,570,000. It will not fall too much. If it goes up, it’s around 27 lakhs and 7 or 80,000. If it can rise even further than over 28 lakhs, which is the highest price so far, it can go up more. If so, it can still rise up to 30 lakhs.

Otherwise, I see it between 2,600,000 and 2,750,000. It’s going to be hovering around 28 lakhs. I don’t see it to go over 28 lakhs for the time being. Because supply and demand are in balance right now,” he said to CNI.

The current rise in gold prices is reportedly due to the closure of domestic gold mining during the rainy season as well as due to the lack of domestic gold raw materials and high demand. In addition, due to the high price of the domestic dollar, the price of goldis rising, said Gold business operators. 

While seeing Aung Samadhi gold shop (GETTY IMAGES)

Therefore, since the currently closed gold mining operations will be resumed when the open season arrives, gold raw materials will be recovered. At that time, the price of gold will fall again, said U Ohn Myint, secretary of the Myanmar Gold Industry Association to CNI.

He said, “I estimate that it will reach 25 lakhs again in the next 3 months. Now the local mines are also closed as there can be pit collapses. If all of these can be resumed in the open season, Thadingyut, Tazaungdine, then domestic gold production can also be achieved.

The other reason for the scarcity of gold at this time is the hoarders. They sell and buy sesame and beans. It is also time that they sell beans and sesame. They take out the stocks and buy gold. For this reason, the demand in the market is increased.

But it’s news beans. When new batch of sesame and rice are cropped, they sell these and restore the beans, sesame and rice and sell them at a time like that. So if the site they are buying from makes sales, I think the price will all stagnant again,” he said.

While seeing a gold shop (GETTY IMAGES)

Previously, famous gold shops such as Zwe Htet, Waint Sein, Aung Samadhi used to write everyday gold prices on social media for the benefit of the public but they have stopped writing after the price of gold was over 23 lakhs.

There is a discrepancy of about 700,000 kyats between the prices published daily by the Yangon region Gold Industry Association (YGEA) and the prices of transaction sales outside. It was found that the price stated by YGEA is not even 21 lakhs but it is almost 28 lakhs in the outside price, said gold market analysts.

Today (August 25^th), the price of gold is 2,805,000 kyats per tical of light gold and the gold market analysts are speculating that the price of gold will be 300,000 kyats next week.