HSBC's Liao Yijian: Hong Kong is well-positioned to become a regional gold clearing hub

Hong Kong has released its first five-year plan. HSBC Asia and Middle East Co-Chief Executive Officer Liao Yijian stated that the measures in the plan to support the development of the gold market are encouraging. Hong Kong is well-positioned to become a regional gold clearing hub and an important gateway for global investors. Liao Yijian pointed out that by 2025, Asia will account for over 60% of global demand for gold and silver bars. The Hong Kong trading session effectively connects the time zones of Asia, Europe, and the United States, making it an ideal platform for cross-time-zone spot, forward, and swap trading, especially suitable for institutional clients adopting global strategies. Regarding product innovation, Liao Yijian welcomed the government's use of tokenization technology to promote the development of gold products. He believes that a mature gold trading hub can not only support the storage, trading, clearing, and settlement of gold, but also foster the growth of a financial ecosystem for gold loans, inventory financing, and risk management tools. Liao Yijian emphasized that as the world's largest offshore RMB center, Hong Kong has unique advantages in the development of RMB-denominated gold products. He looks forward to Hong Kong establishing a gold market with scale and compliance with internationally recognized risk management standards.