Hong Kong as a Future Global Gold Trading Center: Chan Ho-lin's Ambitious Strategy

The geopolitical uncertainty of last year created new challenges for the global financial market, but Hong Kong demonstrates remarkable resilience. According to RTHK, Hong Kong’s asset portfolio continues to expand due to a steady influx of capital, increasing tourist visits, stable domestic demand, and confident results in international investments. Economic indicators show a 3.5% growth last year, marking the third consecutive period of expansion.

At the launch ceremony of the Chinese gold trading line on the Hong Kong Stock Exchange, Deputy Director of Financial Services and Treasury Lin outlined a plan for diversifying the city’s financial sectors. His speech highlighted an ambitious goal: to transform Hong Kong into a global gold trading and processing hub that promotes the development of related sectors.

Three-Stage Strategy for Developing the Gold Hub

Lin and his team’s plan is built on three key pillars. First, the city aims to accumulate 2,000 tons of gold over three years, solidifying its status as a regional precious metals storage center. Second, it plans to expand the local gold industry by encouraging the construction and modernization of refineries. Third, it focuses on developing modern clearing and settlement infrastructure to ensure the smooth circulation of gold.

International Partnerships as a Growth Foundation

Implementing this strategy requires systematic cooperation. A memorandum of understanding with the Shenzhen Financial Regulatory Authority allows Hong Kong gold refiners to refine metals on the mainland and re-export them for global trade. Simultaneously, negotiations are underway for deeper integration between the Shanghai and Hong Kong gold markets, creating a strong Asian alternative to Western centers.

Technological Infrastructure for Acceleration

Hong Kong’s government-controlled gold settlement system is preparing for a pilot launch in 2026. This will incorporate digital innovations that secure operations and accelerate transaction processing in real time. The technological modernization includes not only clearing systems but also custody, insurance, logistics, and financial derivatives.

National Context and Global Significance

Lin’s initiative aligns with the national development paradigm outlined in the 14th Five-Year Plan. Hong Kong is positioned as a “super-connector”—a platform where Asian and global capital meet for investment in precious metals. Government measures aim to attract international talent and capital by optimizing regulatory frameworks and accelerating innovative solutions. These steps will strengthen Hong Kong’s international status as a leading financial center and ensure its role in global capital flows for years to come.