Singapore Set to Become a Leading Gold Trading Center

As the global trade in precious metals increasingly shifts towards the East, Singapore is emerging as a potential leading gold trading hub.

The World Gold Council (WGC) reported to CNBC that Singapore could emerge as a leading gold trading hub, given the active shift of precious metals trade towards the East. China, notably, is the world’s largest consumer of gold.

Shaokai Fan, the WGC’s head of Asia-Pacific and global head of central banking, cited the rising gold consumption in major emerging markets, particularly in Asia, as a key driver of this trend.

Additionally, Singapore’s proximity to the central banks of countries that actively purchase gold for their reserves is another significant factor.

The center of gravity of the gold market has shifted east, and Singapore is the potential center of this new balance,

said Fan at the Asia-Pacific Precious Metals Conference in Singapore

The largest buyers of gold in the East are China, Japan, and South Korea.

Additionally, Singapore is conveniently located near 25% of the world’s gold-producing regions

These include China, Australia, Indonesia, the Philippines, Papua New Guinea, and Laos.

He also mentioned that Singapore could become a viable alternative to London and New York as a gold storage center for central banks.

“Singapore has the potential to become a leading gold trading center in the future,” Fan said, highlighting the country’s commitment to political stability and the abolition of the investment gold sales tax as key factors that will shape Singapore’s significant role in the future of the gold market.

In Stock

1g Tavex Gold Bullion Bar

We sell 1+ £75.79 66.69 66,69 66.69 66,69 66.69 66,69 66.69 66,69 75.79 75,79 75.65 75,65 75.45 75,45 75.12 75,12

We sell £75.12 66.69 66,69 66.69 66,69 66.69 66,69 66.69 66,69 75.79 75,79 75.65 75,65 75.45 75,45 75.12 75,12

We buy £66.69

Compare Alert Add to cart

Key Takeaways

Singapore is poised to become a pivotal player in the global gold market. The shift of precious metals trade towards the East, driven by increasing gold consumption in major emerging markets like China, Japan, and South Korea, positions Singapore advantageously.

Its proximity to key gold-producing regions and central banks purchasing gold for their reserves further strengthens its potential. With its commitment to political stability and the abolition of the investment gold sales tax, Singapore is set to emerge as a viable alternative to traditional gold storage centers.

This is like London and New York, solidifying its future as a leading gold trading hub.