The Hong Kong Monetary Authority ("HKMA") released the Exchange Fund Abridged Balance Sheet and Currency Board Account for 30 June 2025. Total assets increased by HK$137.7 billion to HK$4,297.1 billion. Hong Kong dollar and foreign currency assets rose significantly due to various factors, while the Monetary Base and Backing Assets also saw changes.
This article was generated using SAMS, an AI technology by Timothy Loh LLP.
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On July 31, 2025, the Hong Kong Monetary Authority ("HKMA") reported that the total assets of the Exchange Fund stood at HK$4,297.1 billion as of June 30, 2025, an increase of HK$137.7 billion from the end of May 2025.
The growth was driven by an HK$88.5 billion increase in Hong Kong dollar assets, primarily due to the issuance of Exchange Fund Bills and Notes, and a HK$49.2 billion rise in foreign currency assets, attributed to interest income, revaluation gains, and proceeds from government green bond issuance, partially offset by the sale of US dollars under Currency Board arrangements.
The Monetary Base, as reflected in the Currency Board Account, declined by HK$4.7 billion to HK$2,120.2 billion at the end of June 2025, reflecting the purchase of HK dollars and offset by increases in outstanding Certificates of Indebtedness and amortization of discounts on Exchange Fund Bills and Notes.
The Backing Assets increased by HK$8.6 billion to HK$2,364.8 billion, driven by interest income, revaluation gains, and issuance of Certificates of Indebtedness, partially offset by the sale of US dollars under Currency Board arrangements, leading to a 0.4% increase in the Backing Ratio, which rose to 111.54% at the end of June 2025.
The HKMA issues four monthly press releases relating to Exchange Fund data, including three in accordance with the International Monetary Fund’s Special Data Dissemination Standard ("SDDS") and one on the Exchange Fund Abridged Balance Sheet and Currency Board Account for transparency. The schedule for July 2025 press releases includes July 7 for SDDS International Reserves, July 14 for SDDS Analytical Accounts of the Central Bank, and July 31 for Exchange Fund Abridged Balance Sheet and Currency Board Account.
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