Answers to the Christmas Quiz 2003

Monetary and Banking Events in Hong Kong:

1. The first Hong Kong coins are issued.

2. Exchange Fund Bills are launched.

3. The Hong Kong Monetary Authority is established.

4. Creation of Hong Kong's Exchange Fund.

5. The Hong Kong dollar is first pegged to the US dollar.

6. Spanish, Mexican and other silver dollars, the Indian rupee and Chinese cash are proclaimed legal tender in Hong Kong.

7. Hong Kong's first Banking Ordinance is enacted.

8. The Hong Kong Government promulgates a law prohibiting the circulation of foreign currencies in Hong Kong.

9. The Hong Kong dollar's peg to the pound is changed from HK$16 per pound to HK$14.55 per pound, following the rapid depreciation of the pound.

10. The Hong Kong Government uses the Exchange Fund to buy HK$118 billion of Hong Kong stocks.

11. The Bank of China issues its first Hong Kong banknotes.

12. Six out of the 11 banks operating in Hong Kong collapse following a financial crisis originating in Britain.

13. The Hong Kong Mortgage Corporation is established.

14. The Bank of Credit and Commerce Hong Kong Ltd closes down.

15. Real Time Gross Settlement is launched in Hong Kong, enabling interbank payments to be settled real time.

16. The Hong Kong Exchange Banks?Association (the predecessor of the Hong Kong Association of Banks) is founded.

17. The Hong Kong Government issues 1-cent, 5-cent and 10-cent notes.

18. The People's Bank of China and the Hong Kong Monetary Authority sign a Memorandum of Understanding concerning personal RMB banking business in Hong Kong.

19. The Hong Kong Government takes over Overseas Trust bank Ltd.

20. The Linked Exchange Rate system is established.

21. The Hong Kong dollar is floated.

22. Banking crisis with runs on a number of banks; Ming Tak Bank and Canton Trust & Commercial Bank close down.

23. The Hong Kong Exchange Banks?Association establishes the Interest Rate Agreement, which prescribes the maximum rate of interest payable on certain deposits.

24. The Tracker Fund of Hong Kong is launched.

25. The Hong Kong Government limits the legal tender to the Mexican dollar, the British trade dollar and the Hong Kong dollar.