24-hour Broadcasting of the HKMA's Market Activities

The Hong Kong Monetary Authority (HKMA) announced today (Monday) that it will update the information on its currency board operations on a 24-hour basis with immediate effect. Forecast changes in the Aggregate Balance attributable to the HKMA's foreign exchange transactions for the currency board account concluded outside Hong Kong hours will be updated by the respective HKMA overseas offices on the Reuters page "HKMAOOC" as soon as practicable.

Previously, forecast changes in the Aggregate Balance due to transactions outside Hong Kong hours were announced by the HKMA in Hong Kong the next morning shortly before the market opened.

The earlier announcement of forecast changes in the Aggregate Balance resulting from the HKMA's foreign exchange transactions should help market participants to assess the possible changes in liquidity conditions in the Hong Kong interbank market. "Arranging for the HKMA overseas offices to broadcast the information will shorten the time gap between the actual transaction and the announcement, hence reducing the possibility of the HKMA deal counterparty retaining privileged information," said Tony Latter, Deputy Chief Executive of the HKMA. "Though the bulk of our operations are carried out in Hong Kong, the prompt release of information relating to any operations outside Hong Kong will facilitate a more efficient adjustment in Hong Kong dollar interest rates even before the Hong Kong market opens the next morning," he added.

For further enquiries, please contact:

Jasmin Fung, Manager (Press), at 2878 8246 or
Caitlin Wong, Manager (Press), at 2878 1687

Hong Kong Monetary Authority
21 May 2001