Demand for gold in Thailand was the third highest in Southeast Asia in 2022, as the metal remains popular as a financial hedge in times of global uncertainties.
According to the World Gold Council (WGC), gold buyers in the ASEAN region have also been encouraged by China’s reopening, which has rapidly restored the region’s business activity to pre-pandemic levels.
The Gold Demand Trend 2022 report named Vietnam as the biggest buyer of gold in ASEAN with 69.1 tonnes, followed by Indonesia with 50 tons and Thailand with 37.9 tons.
The WGC said Thailand saw a modest increase in gold demand of 3% year-on-year. The higher gold demand in Thailand was supported by a 15% year-on-year increase in demand for jewelry, followed by an 8% year-on-year increase in bar and coin demand.
Overall demand for gold in ASEAN and around the world remains strong. High inflation, central bank policies, global economic uncertainty and geopolitical concerns have prompted investors to seek safe haven assets to preserve their portfolios.
The WGC believes that gold will continue to see at least modest demand this year, given the current uncertainties and high inflation. Most investors consider gold to be a non-interest-bearing asset that is worthwhile to retain.
Key findings from the 2022 global gold demand report revealed that gold remains essential in a recessionary and inflationary environment. (NNT)
