China Adds Gold to Reserves for Seventh Month in May
Waleed Farouk
The People's Bank of China (PBoC) announced a fresh addition to its gold reserves in May, marking the seventh consecutive month of expansion. According to Krishan Gopaul, senior analyst at the World Gold Council for EMEA, China added approximately 2 metric tons during the month, pushing total net purchases for 2024 to 17 tons and lifting overall holdings to 2,296 tons.
Despite the increase in physical reserves, the value of China's gold holdings dipped to $241.99 billion by the end of May, compared to $243.59 billion in April. The decline comes after gold prices hit a record high above $3,500 per ounce in April, temporarily boosting the reserve's valuation.
Last year, the PBoC paused gold acquisitions for six months following an 18-month buying spree. It resumed purchases in November, shortly after Donald Trump's win in the U.S. presidential election.
China Opens Gold Futures to Foreign Investors
In a strategic move to deepen its role in global gold markets, the Shanghai Futures Exchange unveiled a plan on May 27 to allow direct access for foreign investors and brokers. The initiative outlines 34 proposals covering derivatives trading in gold and silver, hedging, and precious metals futures.
Key reforms include permitting foreign participants to trade without local intermediaries and to post margin in major foreign currencies like the U.S. dollar. Public feedback on the proposals is open until June 4.
This opening aligns with China's broader strategy to internationalize the renminbi and boost its influence in commodity pricing. On April 21, a coalition of four Chinese government entities, including the central bank, launched a plan to globalize the Shanghai Gold Exchange. The initiative includes establishing offshore delivery warehouses, aiming to rival the London Metal Exchange in price-setting.
While specific products under the global expansion remain unspecified, the Shanghai Gold Exchange primarily focuses on gold, silver, and platinum trading.
read more
CBE: Deposits in Local Currency Hit EGP 5.25 Trillion
Morocco Plans to Spend $1 Billion to Mitigate Drought Effect
Gov't Approves Final Version of State Ownership Policy Document
Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister
Qatar Agrees to Supply Germany with LNG for 15 Years
Business
Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves
Business
Suez Canal Records $704 Million, Historically Highest Monthly Revenue
Business
Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday
Business
Wheat delivery season commences on April 15
News
China Launches Largest Ever Aircraft Carrier
Sports
Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer
Lifestyle
Get to Know 2025 Eid Al Adha Prayer Times in Egypt
News
Prime Minister Moustafa Madbouly Inaugurates Two Indian Companies
Business
Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War
Arts & Culture
Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies
News
Flights suspended at Port Sudan Airport after Drone Attacks
News
Shell Unveils Cost-Cutting, LNG Growth Plan
Videos & Features
Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream
Technology
50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
See - Sada Elbalad
9 hours ago
- See - Sada Elbalad
Africa's Diamond Giant Slashes Output Amid Global Market Weakness
Waleed Farouk In the heart of Africa, the global diamond industry was rattled by a major announcement from Debswana, one of the world's largest diamond producers, revealing a significant cut in its output amid a prolonged slump in the global market. The story began when the company — a joint venture between the Government of Botswana and mining giant De Beers — disclosed that its annual diamond production fell by 27% in 2024, dropping to just 17.93 million carats. This downturn is not temporary. The company anticipates further cuts in 2025, aiming for only 15 million carats — its lowest output in years. Behind the decision lies a chain of challenges impacting the luxury industry, especially a noticeable drop in global demand for rough diamonds, stockpiling issues, and new U.S. tariffs that disrupted exports — particularly from India, a key hub for diamond cutting and trading. Faced with mounting pressures, Debswana moved to suspend several of its mining operations, including units at Jwaneng and Orapa, and to delay capital projects. However, it confirmed that it would continue developing its ambitious underground Jwaneng project — a strategic investment in the future of Botswana's mining. The implications go far beyond company boundaries. Botswana's economy, heavily reliant on diamond exports, has been directly impacted. According to government data, diamonds accounted for 30% of the state's revenue and 75% of its foreign currency reserves in 2024. Still, that year saw the national GDP contract by 3%, with the IMF forecasting a further 0.4% decline in 2025. Amid these setbacks, Debswana emphasized that it would prioritize voluntary separation packages to avoid forced layoffs, as the company braces for a prolonged market downturn while hoping for a future rebound. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt News Prime Minister Moustafa Madbouly Inaugurates Two Indian Companies Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks News Shell Unveils Cost-Cutting, LNG Growth Plan Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
See - Sada Elbalad
9 hours ago
- See - Sada Elbalad
Malaysian Jewelry Exports Surge, Boosted By Gulf ,Asian Markets
Waleed Farouk Both Singapore and the United Arab Emirates are experiencing a significant increase in their purchases of Malaysian gold jewelry, as rising global gold prices have dampened domestic demand, according to the Penang Jewellers Association. Josson Khor, an advisor to the association, said that foreign demand, coupled with strong prices, will push Malaysian gold jewelry exports this year beyond the $2.17 billion recorded in 2024. He noted that about 80% of Malaysian gold jewelry exports come from manufacturers and exporters based in Penang. Khor added, "There is stable demand from overseas markets for Malaysian gold jewelry, as the cost of local craftsmen remains competitive, despite the shortage of this specialized labor." It is worth noting that gold prices remain up more than 26% since the beginning of 2025, despite having retreated slightly from their record peak of $3,431 per ounce last month. According to data from the Malaysia External Trade Development Corporation, domestic gold jewelry exports reached $780 million (RM3.3 billion) during the period from January to April 2025, compared to approximately $6.6 million (RM2.8 billion) during the same period last year. The UAE recorded the highest purchase volume, importing jewelry worth $260 million (RM1.12 billion), a 7.4% increase, while Singapore increased its imports by nearly 16% to $240 million (RM1 billion). Conversely, domestic demand has suffered a significant decline due to high prices, with average retail gold jewelry sales halving from around 10 kg per month, according to Khor. The Penang Jewellers Association has approximately 650 members, more than 60% of whom are small and medium-sized enterprises (SMEs) with an annual turnover of less than RM25 million. Khor warned that continued high gold prices could lead to a further contraction in domestic retail sales, predicting they will fall to around 4 kg per month by 2027. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt News Prime Minister Moustafa Madbouly Inaugurates Two Indian Companies Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks News Shell Unveils Cost-Cutting, LNG Growth Plan Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
Daily News Egypt
10 hours ago
- Daily News Egypt
Egypt's Contact Financial names John Saad CEO, Said Zater becomes vice-chairperson
Egypt's Contact Financial Holding has appointed John Saad as its new managing director and chief executive officer, succeeding Said Zater who has become vice-chairperson of the group's board of directors, the company said on Tuesday. The leadership transition comes as the non-banking financial services provider reported that its total financing portfolio surpassed 21 billion Egyptian pounds for the 2024 financial year. The company also said its total lending since inception reached almost EGP 75bn, with gross written premiums for its insurance division nearing EGP 7bn. 'I am thrilled to join Contact Financial Holding and would like to extend my sincere appreciation to Said Zater for his visionary leadership, which has firmly positioned Contact among Egypt's top non-banking financial institutions,' Saad said in a statement. 'It is an honour to be part of this Group, which has achieved total lending of nearly EGP 75bn since inception. I look forward to driving excellence by building upon these achievements, prioritizing customer-centricity, and developing innovative financing solutions, while preserving the Group's strong foundation and deeply rooted values.' Saad joins Contact with over 20 years of commercial and marketing experience in the technology sector. His career began at a major Egyptian telecommunications company where he held several marketing and senior management roles. He has served as chief commercial officer for companies in Egypt, Qatar, Saudi Arabia and the UAE, and was also CEO of a digital entertainment platform in the MENA region. Saad is the co-founder and CEO of an AI-focused company, the statement added. Contact, Egypt's first licensed consumer finance provider, offers services through its financing arms, Contact Credit and Contact Creditech. Its services include a range of financing for auto loans, home interiors, education and green finance. Its AI-powered 'Contact Now' app provides real-time credit assessment and instant financing approvals. The group's offerings also include leasing, mortgage, and factoring services, supported by a network of 72 branches across Egypt, an office in Dubai serving Egyptian expatriates, and a regional subsidiary, 'Almasi', in Kenya. In capital markets, the company's 'Sarwa Securitization' arm closed its 45th bond issuance in 2024, valued at EGP 1.2bn. The total value of bonds issued in the Egyptian market and backed by portfolios generated by Contact has reached approximately EGP 30bn through 29 bonds. Contact has also been active in sukuk issuances. The company's insurance division, which includes Sarwa Insurance, Sarwa Life Insurance, and Contact Insurance Brokerage, reported gross written premiums nearing 7 billion Egyptian pounds by the end of 2024. Contact attributed its performance to its focus on digital transformation, driven by a team of more than 3,000 employees. Its digital platforms include the 'ContactNow' app and ' a specialised automotive platform which reached 1.2 million monthly users by the end of 2024. Forbes Middle East named Contact one of its 'Top 50 Fintech Companies in Egypt' for the second consecutive year.
