Hong Kong's
Monetary Authority (HKMA) has signed a currency-swap agreement
with the People's Bank of China in January. The agreement has a
term of three years, which can be extended upon agreement by
both parties. It can provide liquidity support up to RMB200
billion or HK$227 billion (C$36.5 billion).
At the signing ceremony, HKMA's Chief Executive, Joseph Yam,
said the currency-swap pact represents a further strengthening
of financial co-operation between the two places, and will help
maintain Hong Kong's status as an international financial
centre.
"The establishment of a currency-swap arrangement will help
address contingent needs and maintain financial stability. It
will also contribute to the development of a mutually assisting,
complementary and interactive relationship between the financial
systems of the Mainland and Hong Kong," Mr. Yam said. |
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