What is Loco Singapore?

Loco Singapore means physical gold held and settled in Singapore. The term is also being used for Singapore's developing over-the-counter gold market, supported by a new clearing system being established by Singapore Exchange (SGX). For a deeper dive into the clearing system itself, see our Loco Singapore Gold Clearing guide.

In bullion trading, "loco" refers to the place where the metal is held and delivered. Loco London means gold settled in London. Loco Singapore applies the same principle to gold held in Singapore.

Why Loco Singapore matters

Asia accounts for a large share of global consumer gold demand, but much of the world's gold trading, liquidity and price discovery still centres on London and New York.

That creates a practical gap for banks, institutions and other market participants operating during Asian hours.

Singapore's new market infrastructure is intended to close part of that gap by making it easier to clear and settle physical gold locally. Read more about the broader market in our Singapore Gold Market Dynamics guide.

How the new system will work

SGX plans to establish an OTC clearing system for Loco Singapore by the end of 2026.

The system will support both large gold bars and one-kilogram bars, with standardised settlement available during Asian trading hours.

Six bullion banks are participating as clearing members:

• DBS
• Deutsche Bank
• ICBC Standard Bank
• J.P. Morgan
• OCBC
• UOB

Interbank activity is expected to build from 2027 as the market develops.

Loco Singapore isn't intended to replace established gold centres. The broader aim is to give Asia stronger market infrastructure in its own time zone while connecting Singapore more closely with global bullion markets.