Hong Kong Targets July Launch for New Gold-Clearing System

Hong Kong plans to launch a government-owned gold-clearing system by July as the city seeks to strengthen its role as a global bullion trading hub and diversify financial market infrastructure.

The Hong Kong gold clearing system will reportedly mirror London’s bullion-market model by allowing settlement through unallocated accounts, enabling faster and more scalable trading without assigning specific numbered bars.

People familiar with the matter said trial operations are expected to begin this year.

Hong Kong has invited several China-friendly central banks to participate and has signed a cooperation agreement with the Shanghai Gold Exchange as part of wider integration with mainland China’s precious metals market.

Authorities also plan to expand gold storage capacity to 2,000 tonnes within three years to support trading growth.

Eleven banks, including HSBC, JPMorgan, UBS, ICBC and Bank of China, sit on the clearing company’s board.

The initiative reflects Hong Kong’s broader push to reinforce its position as an international financial and commodities trading centre serving Asian and global investors.