Shanghai Gold Exchange to launch international board in free-trade zone

PUBLISHED : Friday, 10 January, 2014, 3:53pm
UPDATED : Friday, 10 January, 2014, 4:04pm

The Shanghai Gold Exchange plans to launch an international board in the city’s pilot free-trade zone in the first half of this year to attract overseas capital to invest in China’s gold market, local media reported on Friday.

“We are pushing for the international board to be launched during the first half,” Song Yuqin, deputy general manager of the Shanghai bourse, was quoted as saying in the Shanghai Daily.

“It will definitely be launched within the year,” Song said, adding that the contracts on the international board will be priced in yuan instead of foreign currencies.

The bourse is now looking for a site for a bonded warehouse in the zone, he said.

The Shanghai free-trade zone, launched in September, is intended to test profound reforms to the country’s economic and financial system, including liberalisation of China’s currency regime and interest rates

The Shanghai Gold Exchange is the world’s biggest physical gold exchange. All buying and selling of spot bullion in China has to happen through the exchange.