The move comes after the Ministry of Commerce (MOC) on January 22 announced plans to liberalise the trading of gold in Myanmar.

The OSSC, which involves the MOC as well as the Ministry of Natural Resources and Environmental Conservation, Internal Revenue Department and local firms, will serve as the middleman between traders and end users.

“We are aiming to start trading activities around one month from now,” said U Ye Aung Thu, director of Myanmar Gold Development Company.

With the OSSC now official, the government’s next move will be to launch the Myanmar Gold Exchange. 

Both the OSSC and gold exchange will be located at Times City between Hantharwaddy and Kyun Taw Road in Kamayut township, Yangon. However, the OSSC is now temporarily located at the Myanmar Culture Valley in the Peoples’ Park.

The launch of the OSSC comes amid slowing domestic gold sales as prices rise. Domestic gold prices are now at their highest levels ever at around K10 lakh a tical, U Kyaw Win, chair of Myanmar Gold Entrepreneurs Association, told The Myanmar Times last week. A tical is equivalent to 16.6 grams. 

The current gold price is the highest in the country’s history and comes on the back of rising dollar prices compared to the Myanmar kyat, U Kyaw Win said.

By removing trade restrictions on the precious metal, gold exports are expected to draw more foreign currency into the country and help stabilise the exchange rate. It will also deter illegal trade at the borders and raise tax revenues. 

Myanmar is aiming to trade with China, the UAE, Singapore, India, Thailand and the US, which have shown interest in locally mined gold, according to the Myanmar Gold Entrepreneurs Association.

Source: https://www.mmtimes.com/news/one-stop-service-centre-gold-trading-launched.html