Hong Kong Monetary Authority Reports Rise in Foreign Currency Deposits for April 2025

In its newest launch, the Hong Kong Financial Authority (HKMA) introduced that whole deposits with licensed establishments rose by 0.6% in April 2025. This improve was primarily attributed to a big 1.6% rise in overseas foreign money deposits, offsetting a 0.7% lower in Hong Kong greenback deposits, as reported on Could 30, 2025.

Traits in Renminbi Deposits

The HKMA highlighted a notable 7.4% rise in renminbi deposits, reaching RMB1,030.9 billion by the top of April. This surge is essentially because of company fund flows. Moreover, the entire remittance of renminbi for cross-border commerce settlement amounted to RMB1,362.1 billion in April, a marked improve from RMB1,184.0 billion in March.

Loans and Advances

Regardless of the expansion in deposits, whole loans and advances skilled a slight decline of 0.2% in April. Loans to be used inside Hong Kong, together with commerce finance, and loans to be used exterior Hong Kong decreased by 0.1% and 0.3%, respectively. The Hong Kong greenback loan-to-deposit ratio remained steady at 72.3%, as each loans and deposits decreased at the same charge.

Financial Aggregates

The report additionally famous a lower in Hong Kong greenback M2 and M3 by 0.6% in April, though each aggregates confirmed a rise of 6.5% and 6.6% year-over-year. The seasonally-adjusted Hong Kong greenback M1 fell by 1.0% in April, but it was up by 5.5% from the earlier yr. Complete M2 and whole M3 skilled a month-to-month rise of 0.7%, with yearly will increase of 9.3%.

The HKMA cautioned that month-to-month financial statistics are topic to volatilities because of numerous transient elements, together with seasonal funding demand and enterprise actions. It suggested observing longer-term tendencies relatively than specializing in short-term fluctuations.

For additional particulars, please discuss with the Hong Kong Financial Authority.

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