State Bank of Vietnam Demands Vinhomes Comply with Gold-for-Homes Program Regulations

Overview

The State Bank of Vietnam (SBV) has issued a formal demand to Vinhomes (VHM), the largest real estate developer in Vietnam, to ensure full compliance with regulations on payment, foreign exchange, gold management, and real estate business regarding its recently announced gold-for-homes program. The SBV warned of strict monitoring and severe penalties for any violations, signaling heightened regulatory oversight of innovative property sales mechanisms.

Key Facts

• The SBV issued its demand on May 29, 2026, following Vinhomes’ announcement of a program allowing customers to use idle gold to purchase properties.
• Vinhomes will not directly accept gold; instead, licensed gold and jewelry companies will handle valuation and conversion into cash.
• The minimum gold conversion threshold is 50% of the property value for high-value units.
• After 5 years, customers can choose to keep the property or receive a cash amount equivalent to 110% of the gold value at the time of conversion.
• An alternative option allows customers to return the property after 3 years with a 2% annual yield, calculated based on gold prices at the time of return.
• Vinhomes plans to purchase gold price insurance to hedge against future price volatility.
• Vinhomes targets 2026 consolidated after-tax profit of VND 60 trillion and revenue of VND 285 trillion.

What Happened

On May 29, 2026, the State Bank of Vietnam issued a statement demanding that Vinhomes comply with all relevant laws regarding its gold-for-homes program. The SBV emphasized that while mobilizing idle gold for economic development is encouraged, using gold as a direct or indirect means of payment is restricted. The central bank warned it would monitor the program closely and take strict action against any violations.

Vinhomes’ program, announced earlier, allows customers with idle gold to convert it into cash through authorized gold and jewelry companies to purchase properties. The developer offers two exit options: after 5 years, customers can either keep the property or receive 110% of the initial gold value in cash; or after 3 years, they can return the property for a 2% annual yield. Vinhomes stated it would buy gold price insurance to manage risk.

Market Context

VHM shares closed at VND 156,000 on May 29, down 1.08% with volume of 5.6 million shares, reflecting market caution amid regulatory uncertainty. The stock trades on HOSE and has been supported by strong earnings momentum, with Vinhomes targeting record 2026 profit. The gold-for-homes program was seen as an innovative way to tap into Vietnam’s large household gold holdings, but the SBV’s intervention introduces regulatory risk.

Strategic Significance

The SBV’s demand underscores the tight regulatory environment for real estate transactions involving gold, which is not legal tender in Vietnam. Vinhomes’ program, while potentially unlocking significant demand from gold-rich households, must navigate complex foreign exchange and gold management laws. Compliance could limit the program’s flexibility or require structural changes. For long-term investors, the outcome will test Vinhomes’ ability to innovate within regulatory boundaries and may set a precedent for similar schemes in the sector.

What to Watch

• Vinhomes’ official response and any modifications to the gold-for-homes program terms.
• SBV’s subsequent monitoring actions and any penalties or enforcement measures.
• Impact on VHM’s sales volume and revenue guidance for 2026, particularly if the program is curtailed.
• Market reaction to regulatory clarity, including potential foreign investor sentiment.
• Competitor responses and whether other developers attempt similar gold-linked schemes.