The Zhitong Finance App learned that Hong Kong's Secretary for Financial Services and the Treasury, Mr Hui Ching-yu, said in an interview with the media that Hong Kong Gold Clearing Company will connect to the currency settlement system by the end of this year and will set up a “gold line” to coordinate different policy departments to speed up the settlement of gold-related companies in Hong Kong.
Xu Zhengyu pointed out that there are still a few months until the Hong Kong Gold Clearing Company officially operates, and Hong Kong Gold Clearing Company will still seize time to make more preparations before the end of the year, including promoting RMB gold futures contracts, establishing industry associations, and improving settlement functions. The trial operation mainly involves physical gold settlement, which will be connected to monetary settlement before the end of the year, including the interbank monetary system to achieve both physical settlement and payment settlement.
He added that the authorities will set up a “gold line” to help mainland and overseas gold merchants and smelters come to Hong Kong to expand their gold-related business. He hopes that after the authorities come into contact with these enterprises, if they have real needs or precise plans, they will coordinate and coordinate relevant policy bureaus through the Hong Kong Treasury Bureau to make it faster and easier for enterprises to settle in Hong Kong in terms of land use and approval work.
Regarding the Hong Kong Securities Regulatory Commission's goal of officially incorporating the Hong Kong Stock RMB trading counter into the “Hong Kong Stock Connect” by July next year, Xu Zhengyu believes that the measures will help increase the incentives for enterprises to issue RMB shares in Hong Kong and connect the RMB counter to the country's largest domestic RMB capital pool. It will bring great convenience to mainland investors directly using RMB to buy Hong Kong RMB shares, and will also promote greater liquidity.
The China Financial Supervisory Authority allows mainland insurance funds to invest in the “Hong Kong Stock Connect” ETF. Xu Zhengyu pointed out that the relevant policies were officially implemented at the end of September, and he believes that the new arrangement has positive significance for the development of the Hong Kong ETF market.