HKEX to roll out more yuan-denominated products, starting with gold futures next year

The Hong Kong Exchanges and Clearing (0388) is expected to launch more yuan-denominated investment products next year, led by a Hong Kong-settled gold futures contract, with precious metals and commodity products to follow, according to HKEX’s head of markets Gregory Yu Hock-ken.

The move aims to boost the global influence of the yuan in pricing, Yu told the Treasury Markets Summit 2026 on Wednesday, noting that open interest in the five-year Chinese government bond futures launched in August has risen to nearly 3,000 contracts from roughly 900 in the first week, attracting investors from the Middle East, Europe, the US, and Southeast Asia.

He said HKEX was also highly involved in the joint roadmap, formulated by the Hong Kong Monetary Fund and the Securities and Futures Commission of Hong Kong, for the development of the fixed-income and currency markets last year. 

HKMA’s executive director (external) Daryl Ho Hon-kit said at the forum that the biggest challenge in promoting yuan internationalization is that the global market is still accustomed to using the US dollar, and enterprises also lack corresponding treasury management and financing tools.

Ho added that some banks provide customized solutions for major clients, and suggested that banks could turn these solutions into off-the-shelf products and promote them to other clients.

He also noted that Hong Kong’s yuan liquidity pool stands at about 1.1 trillion yuan (HK$1.29 trillion), with the HKMA expanding its yuan liquidity facility to 500 billion yuan, or 40-50 percent of the deposit base, providing a solid backstop for the banking system and meeting financing liquidity needs across market operations, trade, and investment.