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The Hong Kong Monetary Authority (HKMA) announced today (August 6) that the official foreign currency assets of Hong Kong amounted to US$89.1 billion at the end of July 1999 (end-June: US$88.6 billion) (Table 1 which is on the HKMA website : http://www.info.gov.hk/hkma).

Including unsettled forward contracts, the foreign currency assets of Hong Kong at the end of July 1999 also stood at US$89.1 billion (end-June : US$88.6 billion).

According to an HKMA spokesperson, "the US$0.5 billion increase in settled foreign currency assets during the month reflects mainly the valuation effect of foreign currency investments held by the Exchange Fund".

In terms of foreign currency reserves ranking, Hong Kong is the world's fifth largest holder of foreign currency reserves after Japan, Mainland China, Taiwan and Germany (Table 2 which is on the HKMA website : http://www.info.gov.hk/hkma).

The total foreign currency assets of US$89.1 billion represent over seven times the currency in circulation or about 37% of Hong Kong dollar M3, one of the highest ratios in the world.

END/Friday, August 6, 1999

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