Deputy Financial Secretary Michael Wong Wai-lun said on Friday that he is confident the Hong Kong Monetary Authority will make wise investment decisions regarding the Exchange Fund's gold holdings, following the Policy Address 2026's proposal for the authority to explore increasing its gold reserves to support the city's commodity market.
However, Wong stressed that the HKMA will not - and should not - disclose any details about the size of its reserve assets, citing one of the authority's core mandates to safeguard the stability of Hong Kong's financial system.
Speaking at the Hong Kong Institute of Bankers Annual Banking Conference 2026, Wong said that Hong Kong is seeking to build a commodity trading ecosystem with gold as an entry point, adding that global uncertainties such as geopolitical tensions underscore the city's advantage as a safe haven.
Leveraging its rule of law, protection of the right of private ownership of property, and prime geographic location alongside well-established logistics infrastructure and services, Hong Kong is well positioned to provide storage, trading, clearing, and settlement services for gold and other commodities, he said.
As Hong Kong Exchanges and Clearing (0388) will announce details of the new yuan-denominated and physically settled gold futures contracts within this year, a move expected to boost the yuan's global influence in precious metals pricing while offering market participants more hedging and risk management tools, he added.
