Hong Kong’s finance chief has revealed that another 17 companies will set up offices locally under a government push to develop the innovation and technology sector, as he pointed to “golden opportunities” for firms looking to settle in the city. Financial Secretary Paul Chan Mo-po also said on Sunday that Hong Kong would need to…
Hong Kong banks’ unexpected prime rate cut on Friday will lower funding costs and bring more buyers into the market, with analysts expecting home prices in the city to bottom out “in the short term”. The Hong Kong Monetary Authority (HKMA), the city’s de facto central bank, lowered its base interest rate for the second…
HSBC, the biggest commercial bank in Hong Kong, lowered its prime lending rate for a second time this year, trimming borrowing costs for consumers and businesses. Bank of China’s local unit matched the move, and other lenders are expected to follow suit. The UK banking group will trim its prime rate by 25 basis points…
The Exchange Fund reported one of its best quarterly returns as stock markets rallied in Hong Kong and the United States, as a diversified investment approach helped to swell the financial war chest for defending the city’s currency peg. The fund’s investment return more than doubled to HK$224.7 billion (US$28.8 billion) in the first nine…
How are banks responding to an era of massive tech disruption and the prospects of lower interest rate margins as global interest rates fall? The banking industry used to be a highly profitable business because interest rate margins – the difference between the lending rate and deposit costs – were high. In the 1960s, when…
“We are seeing increased interest in big-ticket deals in the market following the start of the rate cut, coupled with deeper price discounts, [and] end users and long-term investors are gaining confidence to enter into buying positions,” said Reeves Yan, executive director and head of capital markets at the commercial property company. “Further rate cuts…
HSBC, the city’s biggest lender, expects six more rate cuts in the US, which will considerably bring down the cost of funding and benefit the local economy and markets, according to its Hong Kong head. The Federal Reserve, which cut its key rate by half a percentage point on September 18, will undertake another six…
Property deals in Hong Kong fell to a seven-month low in September as homebuyers and investors stayed on the sidelines awaiting the start of a policy easing cycle, analysts said. “Major developers have been preparing to launch projects to capture the pent up demand following the interest rate cut,” said Eddie Kwok, the executive director…
The Hong Kong Monetary Authority (HKMA) is monitoring an increase in bad debts in the city’s commercial real estate sector, but the authority’s top boss believes the banking system is robust enough to handle the situation without distress. “It is a concern, but not alarming as the situation is still manageable,” HKMA CEO Eddie Yue…
The Hong Kong Monetary Authority (HKMA) is monitoring an increase in bad debts in the city’s commercial real estate sector, but the authority’s top boss believes the banking system is robust enough to handle the situation without distress. “It is a concern, but not alarming as the situation is still manageable,” HKMA CEO Eddie Yue…