Singapore launches gold custody service for overseas central banks and official institutions

Singapore has launched a gold custody service for overseas central banks and official institutions, aiming to capture growing global demand for diversified storage of gold reserves. The precious metals will be stored in the city-state's national monetary vault, the Monetary Authority of Singapore said in a statement on Tuesday. The vault currently has a capacity of up to 500 tonnes and can be expanded as demand grows. "Singapore does not seek to replace other gold hubs or gold custody services," Deputy Prime Minister and MAS Chairman Gan Kim Yong told reporters at the MAS office. "As countries' demand for gold as a reserve asset grows, I think central banks are also seeking alternatives and want more options to enhance the resilience of their gold reserves." Gan added that overseas central banks have expressed interest in storing gold in Singapore, but declined to disclose which countries or institutions.