10 July 2015

BOCHK appointed as the sole settlement bank for "Shanghai-Hong Kong Gold Connect"

Bank of China (Hong Kong) Limited ("BOCHK") today is appointed as the sole settlement bank for "Shanghai-Hong Kong Gold Connect" by Shanghai International Gold Exchange Co. Ltd. ("SGEI"), a wholly-owned subsidiary of Shanghai Gold Exchange. According to the bilateral agreement, BOCHK will provide SGEI with funds settlement and cross-border payment services for cross-border gold trading related transactions.
Meanwhile, Po Sang Financial Investment Services Co. Ltd., a subsidiary of BOCHK and a special international member accredited by the Chinese Gold & Silver Exchange Society in Hong Kong, successfully completed the first 1-tonne gold futures auction trading today in the Shanghai Gold Exchange International Board with Bank of China (Shanghai) Pilot Free Trade Zone Branch.
Mr Yue Yi, Vice Chairman and Chief Executive of BOCHK, said, "The appointment of BOCHK as the settlement bank by SGEI will further increase China's influence in international gold markets by connecting gold trading markets between Shanghai and Hong Kong, as well as building an international platform for gold trading. In the long term, the integration of onshore and offshore gold markets will have a very positive impact on the remodelling of the pricing mechanism of international gold markets and on China's endeavour to acquire pricing power in gold trading. Moreover, it will also serve as strong support for the further development of RMB internationalisation. Leveraging the Bank of China Group's competitive edge in both onshore and offshore RMB businesses, BOCHK will strive to provide quality and efficient financial services for the business development of "Shanghai-Hong Kong Gold Connect", and proactively facilitate the steady growth of offshore RMB market."
As one of the major listed commercial banking groups in Hong Kong, BOCHK has extensive experience in RMB businesses and profound knowledge in financial management policies and regulations of Hong Kong and the Mainland of China. It has built a solid foundation with unique edges in cross-border payment services. Being a market leader in offshore RMB businesses, BOCHK is committed to strengthening Hong Kong's position as a major offshore RMB hub as well as promoting the continuous development of RMB internationalisation.
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About Bank of China (Hong Kong) Limited

Bank of China (Hong Kong) Limited ("BOCHK") is a leading listed commercial banking group in Hong Kong. With over 260 branches, more than 610 ATMs and other distribution channels in Hong Kong, BOCHK and its subsidiaries offer a comprehensive range of financial products and services to personal

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and corporate customers. BOCHK is one of the three note issuing banks in Hong Kong and also the Clearing Bank for Renminbi business in Hong Kong. In addition, the BOCHK Group (comprising BOCHK, Nanyang Commercial Bank and Chiyu Banking Corporation) and its subsidiaries have 42 branches and sub-branches in the Mainland of China to provide cross-border banking services to customers in Hong Kong and the Mainland.

BOC Hong Kong (Holdings) Limited, BOCHK's holding company, began trading on the main board of the Stock Exchange of Hong Kong on 25 July 2002, with stock code "2388", ADR OTC Symbol "BHKLY".

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