Singapore will debut an over‑the‑counter gold clearing system later this year, accompanied by a vault service for central banks. Deputy Prime Minister Gan Kim Yong said banks such as JPMorgan, Deutsche, DBS, OCBC, UOB and an ICBC‑Standard Bank JV will join the pilot. The move positions the city‑state as a trusted node linking Asian demand with global liquidity.

The initiative follows a decade‑long push to diversify Singapore’s financial hub beyond equities and fintech. Geopolitical uncertainty has revived investor appetite for gold, prompting private‑sector projects like a physical gold contract and massive storage facilities. By removing a 5% cap on tax incentives for family offices, the Monetary Authority of Singapore aims to deepen market depth during Asian trading hours.

Gan, who chairs the MAS, expects the clearing infrastructure to be live by year‑end, with interbank trading added in 2025. Hong Kong pursues a similar scheme, but Singapore’s vaults for foreign central banks and its regulatory support give it a competitive edge. The platform should streamline cross‑border settlements and boost the city’s standing as a regional precious‑metals hub.