GFN – BEIJING: Cambodia is among the first nations to place part of its official gold reserves under Chinese custody, marking the first tangible step in Beijing’s effort to position itself as a global bullion storage hub. China’s entry into the GoldVaulting buisness for Central banks was first discussed in China Enters Central Bank Gold Storage Business. its implications were discussed days later in China Just Threatened the BiS (below)
According to a report by Bloomberg News, the Southeast Asian country plans to store some of its reserves in a vault registered with the Shanghai Gold Exchange, located within Shenzhen’s bonded zone. The arrangement involves newly purchased bullion rather than the transfer of existing holdings, and several other nations are said to be evaluating similar arrangements as they consider diversifying from traditional storage centers such as London and Zurich.
“Beijing’s goal is to build a financial architecture less dependent on the dollar and Western institutions.”
