Exchange Fund Abridged Balance Sheet and Currency Board Account

Exchange Fund Asset Position as at 31 August 2026

On Wed, 30 Sep, the Hong Kong Monetary Authority (""HKMA"") issued a public announcement disclosing that the total assets of the Exchange Fund stood at HK$4,335.4 billion as at 31 August 2026, representing a net decrease of HK$68.3 billion from the position recorded at end-July 2026. The reduction was predominantly attributable to foreign currency assets, which declined by HK$68.0 billion owing principally to withdrawals of Fiscal Reserves placements. Hong Kong dollar assets registered a marginal decline of HK$0.3 billion, primarily reflecting mark-to-market revaluation adjustments on holdings of Hong Kong equities.

Currency Board Account and Monetary Base Movements

Pursuant to the Currency Board regime, the Monetary Base as at 31 August 2026 amounted to HK$2,080.2 billion, exhibiting a nominal increase of HK$0.1 billion (equivalent to 0.01%) over the preceding month-end position. Such increment was principally driven by amortisation of discount on Exchange Fund Bills and Notes issued during the period, partially offset by a reduction in the outstanding balance of Certificates of Indebtedness.

Backing Assets and Backing Ratio Performance

The aggregate value of Backing Assets rose by HK$3.2 billion (0.14%) to reach HK$2,329.9 billion as at 31 August 2026. The upward movement was chiefly attributable to interest income generated from the investment portfolio, partially counterbalanced by redemption activity on Certificates of Indebtedness and mark-to-market revaluation adjustments on investments held therein. Correspondingly, the Backing Ratio improved marginally from 111.86% at end-July 2026 to 112.00% as at end-August 2026.

Monthly Disclosure Framework and Scheduled Releases for September 2026

The HKMA maintains a monthly disclosure programme comprising four press releases relating to Exchange Fund data, of which three are issued in compliance with the International Monetary Fund's Special Data Dissemination Standard ("SDDS") for monetary statistics dissemination, while the fourth—concerning the Abridged Balance Sheet and Currency Board Account—is published pursuant to the HKMA's standing policy of maintaining a high degree of transparency. The scheduled issuance dates for September 2026 were as follows: • 7 September (Issued): SDDS International Reserves – Hong Kong's Latest Foreign Currency Reserve Assets Figures; • 14 September (Issued): SDDS Analytical Accounts of the Central Bank – Analytical Accounts of the Exchange Fund; • 30 September: SDDS Template on International Reserves and Foreign Currency Liquidity; • 30 September: Exchange Fund Abridged Balance Sheet and Currency Board Account.