Foreign Exchange Reserves Figure as at End-July 1997 Released

The Hong Kong Monetary Authority (HKMA) today announced that the official foreign exchange reserves of Hong Kong, including those held in the Land Fund, were US$81.7 billion at the end of July 1997 (end-June: US$82.9 billion), placing Hong Kong at the fifth position in world ranking.

As at end of July, the foreign reserves held in the Exchange Fund were US$66.1 billion (end-June: US$67.6 billion) and those in the Land Fund were US$15.6 billion (end-June: US$15.3 billion). The slight decrease of the Exchange Fund foreign reserves was due to seasonal factors.

"US dollars were used to redeem currency notes in July as currency in circulation returned to normal levels after the relatively high level over the long weekend at the end of June. July was also one of the drier months of the year when Government had to draw down its fiscal reserves placed with the Exchange Fund," said an HKMA spokesman.

The foreign reserves figures published exclude forward transactions yet to be settled. Including forward transactions, the foreign reserves held in the Exchange Fund and the Land Fund were US$68.6 billion and US$15.7 billion respectively.

Hong Kong Monetary Authority
29 August 1997

Source: HKMA, IFS, Reuters