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The Hong Kong Monetary Authority (HKMA) announced today (April 28) that the total assets of the Exchange Fund amounted to HK$1,090.1 billion on March 31 2006.
The figure is included in the Exchange Fund Abridged Balance Sheet, which is released monthly together with the Currency Board Account.
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At the end of March 2006 the total assets of the Exchange Fund, at HK$1,090.1 billion, were HK$10.2 billion lower than at the end of February 2006. Both foreign currency assets and Hong Kong dollar assets decreased, by HK$4.1 billion and HK$6.1 billion respectively.
The decrease in foreign currency assets was due mainly to valuation of foreign currency investments, redemption of Certificates of Indebtedness and a decrease in securities purchased but settled in the following month, which were partly offset by interest and dividends from foreign currency assets. The decrease in Hong Kong dollar assets was due mainly to a decrease in Exchange Fund Bills and Notes issued but not yet settled.
The Currency Board Account shows that the Monetary Base at the end of March 2006 was HK$286.4 billion, a decrease of HK$1.0 billion, or 0.4%, from the end of February 2006. The decrease was due mainly to decreases in Certificates of Indebtedness and in Government-issued currency notes.
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The Backing Assets decreased by HK$1.0 billion, or 0.3%, to HK$319.8 billion. The decrease was attributable mainly to the redemption of Certificates of Indebtedness in the Monetary Base together with valuation of investments, which were partly offset by interest from investments. At the end of March 2006, the backing ratio stood at 111.65%, compared with 111.61% at the end of February 2006.
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 April?2006, the scheduled dates for issuing the press releases are as follows:
April 7 SDDS International Reserves (Hong Kong¡¯s Latest Foreign
(Issued) Currency Reserve Assets Figures)
April 18 SDDS Analytical Accounts of the Central Bank
(Issued) (Exchange Fund Balance Sheet Data)
April 28 Exchange Fund Abridged Balance Sheet and Currency Board Account
April 28 SDDS Template on International Reserves and Foreign Currency Liquidity
For further enquiries, please contact:
Ying-ying Cheng, Manager (Press), at 2878 1687 or
Hing-Fung Wong, Resource Co-ordinator, at 2878 1802
Ends/Friday, April 28, 2006
Issued at HKT 16:41
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