–Proposed platform expected to handle hundreds of transactions in real time, but ICT & financial systems must first be assessed
Guyana is advancing plans for the establishment of a digital gold trading exchange, with the proposed platform expected to modernise how transactions within the country’s gold industry are conducted, Technical Consultant to the Ministry of Natural Resources Dominic Gaskin has said.
Gaskin made the disclosure during an appearance on the Starting Point podcast, while outlining initiatives under the Government’s strategy for transforming the gold and jewellery sector.
He identified the digital gold exchange as one of 15 strategic initiatives being pursued under the broader development plan.
“There is a digital trading exchange, a digital gold trading exchange,” Gaskin said, describing the platform as part of the effort to bring greater technology and efficiency to the industry.
However, he stressed that establishing the exchange would require more than simply developing an online platform.
According to Gaskin, Guyana must first determine whether its existing information and communications technology (ICT) and financial services infrastructure can support the demands of a digital gold market.
He said, “For that to happen we need the ICT infrastructure and the financial services infrastructure also, or at least the financial services to match.”
Gaskin said the volume of activity anticipated on the platform could be substantial, particularly because transactions would have to be processed quickly.
“We know that we need transactions, you know, hundreds of transactions to be done in real time,” he said.
He said the ability to facilitate hundreds of transactions in real time means that Guyana’s financial system would need to be capable of supporting a significantly more sophisticated trading environment.
Gaskin acknowledged that it is not yet clear whether the existing infrastructure is sufficient.
“What we currently have we don’t know,” he said, explaining that the Government would need professional assessments of the country’s technological and financial capabilities.
“We have to have professional consultants in those two areas, ICT and finance, to really advise on what specifically is required to make that work,” he said.
Gaskin said he is hopeful that Guyana’s current financial infrastructure can accommodate the proposed system, but stressed that this cannot be assumed.
“I don’t know if the current financial infrastructure we have can facilitate that. I’m hoping it can, but that has to be done,” he said.
The proposed exchange is being developed as part of efforts to create a more modern and competitive gold industry.
Gaskin said the wider strategy is intended to bring about a “structural transformation” of the sector, with greater use of technology, improved productivity and a significant expansion in the scale of activity.
The digital exchange could therefore provide a new mechanism for conducting gold-related transactions while improving the efficiency of trading within the sector.
Its development, however, would have to be supported by other improvements to Guyana’s financial and technological systems.
Gaskin’s comments suggest that the proposed platform is still at a developmental and assessment stage, with the Government yet to determine precisely what infrastructure upgrades would be required before it can become operational.
The financial component will be particularly important given the value of Guyana’s gold industry and the volume of transactions that could potentially be processed through a digital platform.
Gaskin said Guyana exported approximately US$1.6 billion in gold last year, making gold the country’s largest export before oil.
The proposed digital exchange is therefore being considered against the backdrop of an already substantial gold industry, with the Government seeking to introduce systems capable of supporting its future growth.
For Gaskin, the focus is on ensuring that Guyana has the technological and financial capacity necessary to support a modern gold market.
The proposed exchange would form part of that transition, potentially allowing gold trading to move towards a faster, more digitally integrated system once the necessary infrastructure and safeguards are in place.
