Gold Reference Price Increases: Global Market Update
The latest from the Mineral (Gold) Reference Price Determination Committee shows that pure gold reference prices have ticked up slightly in the last two weeks. On January 1st, the committee set the pure gold reference prices at K5.4 million per tical (which is about 16.33 grams) with a gold density of 19.25 grams. This is an increase from the previous K5.2 million per tical recorded at the beginning of January, marking a rise of K120,000 per tical within this short period.
The formation of this committee dates back to October 25, 2024, with the objective of issuing gold reference prices in line with existing laws and regulations to help stabilize gold prices. The leadership of the committee falls to the deputy minister for Natural Resources and Environmental Conservation, who serves as chair, with the deputy governor of the Central Bank of Myanmar acting as the deputy chair.
In order to determine these daily reference gold prices, the committee gathers online for virtual meetings with at least three-quarters of the committee members present. Various factors such as the CBM’s exchange rate, Myanmar’s gold measurement methods dating back to 1967, spot gold prices, prices in neighboring countries, forex exchange rates, and the domestic gold market outlook all come into play when setting these prices.
To ensure accuracy, the committee also consults a task force of gold traders who analyze and provide input on the gold prices. Once the prices are determined, they are announced daily through the Ministry of Information. Additionally, the committee keeps a close eye on spot gold prices, establishes working groups when necessary, prevents market manipulation, and collaborates with various gold and currency market committees and associations to maintain stability in the gold market.
Starting from December 6th, the Mineral (Gold) Reference Price Determination Committee has been sharing daily gold reference prices for a tical of pure gold with a density of 19.25 grams through various platforms like MRTV, MWD, the MoNREC website, and YGEA’s Facebook page. It’s important for traders and investors to keep tabs on these reference prices for a clear understanding of the gold market trends.
