The Hong Kong Monetary Authority/HKMA lowered its base rate by 50 basis points to 1.5 percent on March 4th, 2020, following a similar move by the US Federal Reserve as Hong Kong's currency is pegged to the US dollar. The central bank sets its base rate at either 50 basis points above the lower end of the prevailing target range for the US federal funds rate or the average of the five-day moving averages of the overnight and one-month Hong Kong Interbank Offered Rates (HIBORs), whichever is the higher. The monetary authority mentioned that there were many uncertainties in future changes of the COVID-19 epidemic and there would still be very large fluctuations in the financial market. The HKMA also said it will continue closely monitoring the movement of the foreign exchange and local currency market, with a view to maintain the stability of Hong Kong dollar through the link exchange system.
. Interest Rate in Hong Kong averaged 3.32 percent from 1998 until 2020, reaching an all time high of 8 percent in May of 2000 and a record low of 0.50 percent in December of 2008. In Hong Kong the interest rates decisions are taken by the Hong Kong Monetary Authority (HKMA). The main interest rate is Base rate, adjusted with accordance to the Hong Kong dollar’s demand or supply. This page provides the latest reported value for - Hong Kong Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.