Dubai, April 12, 2016: The Dubai Gold & Commodities Exchange (DGCX) today announced that it has inked a pact with the Agricultural Bank of China (ABC)-DIFC Branch, one of China’s biggest state-owned commercial banks. This development further cements the strategic intent of the region’s most diversified exchange, DGCX by enhancing its association with its Chinese partners. This alliance will focus on areas of product development, strategy and exchange related market intelligence.
China’s third largest lender by assets ABC is listed on both the Shanghai Stock Exchange and Hong Kong Stock Exchange. The bank has had a first movers edge in the precious metal business in China and is known to hold lead positions consistently.
ABC first established its presence in UAE by opening a branch in DIFC in 2013. The following year, ABC listed a 1 billion Chinese Yuan bond on Nasdaq Dubai, becoming the first Chinese issuer to list a bond in the wider MENA region.
Gaurang Desai, CEO of DGCX, said: “ABC’s vast customer network, increasing local presence, coupled with DGCX’s expertise in the precious metals, commodities and derivatives provides an exciting platform to develop product & services that our shared customer base desires. We want to actively facilitate the trade flows in the precious metals and commodities between China and the Middle East.”
Mr. Fang Min, General Manager of Agricultural Bank of China (DIFC branch), said: “Promoting the precious metals and commodities business has been a focus area for us in the Middle East. In line with this business objective, a strategic collaboration with an Exchange like DGCX which is known to have a great portfolio of derivative products and influence across the regional financial markets, is beneficial for both parties as we combine our relevant area of expertise and experience.”
About DGCX:Established in 2005, DGCX is the region’s leading derivatives exchange and the only one allowing participants to clear and settle transactions within the Gulf region. The Exchange has played a pioneering role in developing the regional market for derivatives.
DGCX is a subsidiary of Dubai Multi Commodities Centre (DMCC), a strategic initiative of the Government of Dubai, with a mandate to enhance commodity trade flows through the Emirate by providing the appropriate physical, market, financial infrastructure and services required. It is an electronic commodity and currency derivatives exchange with 267 members from across the globe, offering futures and options contracts covering the precious metals, energy and currency sectors. For more information: www.dgcx.ae