Page 16 - ELITE PLUS MAGAZINE VOL2

NINEVWESWTMAVEENTEXFEOCRUETCIAVSETSingapore, Gold Hub of AsiaThe International Enterprise Singapore (IES) organised a seminar titled “The LBMA Bullion Market Forum 2014” on June 24. The seminar was attended by the world’s top three bullion organisations, including London’s LBMA Group, New York’s CME Group and the World Gold Council, along with 100 other organisations from around the world. The seminar discussed Asia as an emerging gold hub and the launch of the Gold Bar Contract meant to bridge the gap between London and Asian markets.China has now become the world’s largest gold consumer, in place of India.China has radically changed the overall landscape of gold markets.In 2013, gold consumption between January and May amounted to 5.8 million lots. In 2014, the number rose to 19.75 million lots, marking an increase of 240%.Singapore established the Singapore Bullion Market Association and the online Kilobar Market to compensate for the London Fix.Chinese gold consumption rose to 1,600 tonnes between 2010 and 2013, after the country lifted its ban on gold consumption.In 2013, online gold purchases within the Shanghai Gold Exchange amounted to 10,000 tonnes and are like- ly to increase this year.China is now a clear influencer of gold prices and gold bullion flow. The Chinese yuan (RMB) is also beginning to gain in popularity.A Kilobar Gold Contract is to be used in the Singapore Gold Exchange (SGX). If the implementation is successful, the country could become Asia’s next gold hub.14 Elite+