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The following is issued on behalf of the Hong Kong Monetary Authority:
The Hong Kong Monetary Authority (HKMA) announced today (February 28) that the total assets of the Exchange Fund amounted to HK$2,505.0 billion as at January 31, 2011.
The figure is included in the Exchange Fund Abridged Balance Sheet, which is released monthly together with the Currency Board Account.
At the end of January 2011 the total assets of the Exchange Fund, at HK$2,505.0 billion, were HK$159.3 billion higher than at the end of December 2010. Foreign currency assets increased by HK$126.9 billion and Hong Kong dollar assets increased by HK$32.4 billion.
The rise in foreign currency assets was mainly due to increases in unsettled purchases of securities and Certificates of Indebtedness, and valuation gains on foreign currency investments. The rise in Hong Kong dollar assets was mainly due to placements received from fiscal reserves.
The Currency Board Account shows that the Monetary Base at the end of January 2011 was HK$1,064.2 billion, an increase of HK$24.7 billion, or 2.4%, from the end of December 2010. The rise was mainly due to an increase in Certificates of Indebtedness which reflected the seasonal demand for banknotes towards Lunar New Year.
The Backing Assets increased by HK$27.7 billion, or 2.5%, to HK$1,148.8 billion. The increase was mainly attributable to the issuance of Certificates of Indebtedness and exchange gain triggered by a stronger US dollar. The backing ratio increased from 107.85% at the end of December 2010 to 107.95% at the end of January 2011.
Attachment
Annex 1 : Abridged Balance Sheet of the Exchange Fund
Annex 2 : Currency Board Account
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At present, four press releases relating to the Exchange Fund's data are issued by the HKMA each month. Three of these releases are issued to disseminate monetary data in accordance with the International Monetary Fund's Special Data Dissemination Standard (SDDS). The fourth press release, on the Exchange Fund's Abridged Balance Sheet and Currency Board Account, is made in accordance with the HKMA's policy of maintaining a high level of transparency. For the month of February 2011, the scheduled dates for issuing the press releases are as follows:
February 9 (Issued)
SDDS International Reserves (Hong Kong's Latest Foreign Currency Reserve Assets Figures)
February 14 (Issued)
SDDS Analytical Accounts of the Central Bank (Analytical Accounts of the Exchange Fund)
February 28
Exchange Fund Abridged Balance Sheet and Currency Board Account
February 28
SDDS Template on International Reserves and Foreign Currency Liquidity
Ends/Monday, February 28, 2011
Issued at HKT 16:44
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