Hong Kong Monetary Authority - Exchange Fund Abridged Balance Sheet and Currency Board Account
The Hong Kong Monetary Authority (HKMA) announced today (31 January) that the total assets of the Exchange Fund amounted to HK$4,017.8 billion as at 31 December 2023, HK$45.4 billion higher than that at the end of November 2023. Foreign currency assets increased by HK$43.9 billion and Hong Kong dollar assets increased by HK$1.5 billion.
The rise in foreign currency assets was mainly due to mark-to-market revaluation of investments. The rise in Hong Kong dollar assets was mainly due to an increase in placements with banks, which was partly offset by mark-to-market revaluation of Hong Kong equities.
The Currency Board Account shows that the Monetary Base at the end of December 2023 was HK$1,896.3 billion, increased by HK$17.7 billion, or 0.9%, from the end of November 2023. The increase was mainly due to increases in the outstanding amount of Certificates of Indebtedness and the market value of Exchange Fund Bills and Notes outstanding.
The amount of Backing Assets increased by HK$29.3 billion, or 1.4%, to HK$2,099.7 billion at the end of December 2023. The increase was mainly attributable to the issuance of Certificates of Indebtedness, the mark-to-market revaluation of investments and the interest from investments. The Backing Ratio increased from 110.21% at the end of November 2023 to 110.73% at the end of December 2023.
The figures in the Exchange Fund Abridged Balance Sheet and the Currency Board Account are unaudited. The audit of the Exchange Fund’s annual financial statements by the Director of Audit is in progress.