Saturday, July 11

Cambodia Takes Initial Steps to Develop Commodities, Futures Market – Regulation Asia

Reading Time: 2 minutes

A feasibility study on commodity futures trading is being conducted by the securities regulator and Chinese conglomerate Ruifeng Tianfu Investment.

The SECC (Securities and Exchange Commission of Cambodia) and Chinese conglomerate Ruifeng Tianfu Investment have reportedly kicked off a consultation on the establishment of a commodities and futures market in the country.

Under an MOU, the joint feasibility study will focus on two classes of products: commodities linked to financial products (e.g. gold) for the initial phase; and those that are not (e.g. agricultural products) for a later phase.

“A futures market is an object of the SECC’s aspiration, a new channel for agricultural products to participate in futures trading,” said SECC director-general Sou Socheat. “This is where Ruifeng Tianfu Investment comes in – such a large company with sound financial status and ample experience is essential.”

“We have support from the Chinese leader to invest in Cambodia in a commodities and futures market,” said Ruifeng Tianfu Investment general manager Chen Xi, citing the Belt and Road Initiative.

A timeframe for the launch of trading has not yet been set.

Cambodia and China are set to sign a free trade agreement by the end of this year, having resolved the remaining issues after three rounds of negotiation.

Leave a Reply

Your email address will not be published. Required fields are marked *