Bank of Communications and Shanghai Gold Exchange Forge Partnership to Strengthen Market Stability

Deep News06-22

On June 22, Bank of Communications (BoCom) and the Shanghai Gold Exchange (SGE) signed a memorandum of cooperation in Shanghai. The signing ceremony was attended by BoCom President Zhang Baojiang, Vice President Yin Jiuyong, SGE Chairman Yu Wenjian, and Vice President Zeng Hui.

The Shanghai Gold Exchange is a national precious metals trading financial infrastructure approved by the State Council and established by the People's Bank of China. It performs crucial market functions such as trading, clearing, settlement, delivery, and storage/logistics, having established a multi-tiered market system encompassing auction, pricing, inquiry, lending, and ETFs. As one of the first financial institutional members, a designated margin depository bank for both the main board and international board, a gold import bank, and an approved warehouse operator, Bank of Communications has long worked in close coordination with the SGE across areas including transaction settlement, warehousing management, market development, and business innovation.

During discussions, the two parties engaged in in-depth exchanges on topics such as further improving gold market services and product offerings, optimizing fund clearing and settlement capabilities, enhancing delivery and storage management standards, and researching a cooperative mechanism for "exchange-counter linkage." They reached a consensus on steadily advancing market innovation and better serving market participants.

Both sides will use the signing of the memorandum as an opportunity to focus on serving national strategies, continuously deepen business cooperation, jointly safeguard the stable operation of the gold market, and provide stronger foundational support and market services for the development of Shanghai as an international financial center and for the real economy.

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