Pakistan’s 1st Commodity Exchange To Start Soon

via sg.biz.yahoo.com

Pakistan’s first commodity exchange is likely to begin operations before the end of the year, initially offering gold futures contracts to enable investors to hedge against currency risks, a senior executive from the exchange said at the weekend.

“It is just the rules and regulations that has to be approved by the federal government. Our software is ready, the manpower is there. We are looking at starting after Ramadan, probably mid-November,” Asim Jang, managing director of National Commodity Exchange Ltd., told Dow Jones Newswires in an interview.

Gold contracts for up to three months will be listed initially, with immediate plans to introduce cotton yarn futures and then in the second phase wheat and rice futures.

Jang said gold trading will provide investors and companies a tool to hedge their exposure in the U.S. dollar, which currently remains the top investment choice for hedging purpose…