Hong Kong Investment Promotion Agency: It is the right time for Hong Kong to promote the development of the gold market and seize the opportunity to build an international gold trading center

According to the Zhitong Finance APP, the Hong Kong Special Administrative Region Government's Investment Promotion Agency has stated that the growth potential of the gold market is becoming increasingly evident. In the second quarter of 2025, global gold demand by value is expected to rise by 45% year-on-year, reaching USD 132 billion; at the same time, global official gold reserves increased by 166 tons, indicating that central banks continue to view gold as a cornerstone of stable assets. As a globally recognized stable asset, gold possesses both physical commodity and financial investment attributes, aligning perfectly with Hong Kong's positioning as an international financial center, thus becoming an important direction for Hong Kong's policy deployment.

Establishment of a dedicated task force: As an international financial center, Hong Kong has a safe and stable environment, making it uniquely positioned to develop international gold trading, which can inject new momentum into related industries such as warehousing, insurance, trade, and logistics. To this end, the Hong Kong government has specially established a "Task Force on Promoting the Development of the Gold Market," working with regulatory agencies, exchanges, and industry representatives to conduct in-depth research on feasible development strategies, laying the foundation for the implementation of relevant policies.

Expansion of storage capacity: The Hong Kong Airport Authority has now increased the capacity of the precious metals storage facility at Hong Kong International Airport by one-third to 200 tons, and plans to continue expanding it in phases to 1,000 tons, greatly supporting and facilitating spot gold trading, delivery, and storage in Hong Kong to meet the ongoing growth in market demand.

Strengthening cooperation with Mainland China: The Shanghai Gold Exchange launched its designated warehouse for the international board in Hong Kong this June and introduced gold contracts with Hong Kong as the delivery location. This marks the first time the Shanghai Gold Exchange has established a delivery warehouse overseas, which is significant as it not only provides international investors with trading options priced in Renminbi and offshore delivery but also further consolidates Hong Kong's core position in the offshore Renminbi market.

As global demand for gold rises, Hong Kong is seizing the opportunity and has proposed policies to accelerate the development of the gold trading market in the "2025 Policy Address," continuing to steadily move towards the goal of building an international gold trading center:

Continuously promote the Hong Kong Airport Authority and financial institutions to expand gold storage in Hong Kong, aiming for a total capacity of over 2,000 tons within three years, to build a regional gold reserve hub;

Encourage gold suppliers to establish or expand refineries in Hong Kong and collaborate with Mainland China to explore processing raw materials in the Mainland, refining gold for export to Hong Kong for trading and delivery purposes;

Establish a central clearing system for gold in Hong Kong to provide efficient and reliable clearing services for internationally standardized gold trading, while inviting the Shanghai Gold Exchange to participate in the construction, preparing for future connectivity with the Mainland market;

Continue to enrich gold investment tools, assist issuers in launching gold funds, and encourage the development of new products, such as tokenized gold investment products;

Support the industry in establishing a gold industry association to create a communication platform with the Hong Kong government and regulatory agencies, and enhance promotion and attraction of "Belt and Road" clients, strengthening talent training