Chan Maobo: Hong Kong has no plans to withdraw from the Exchange Fund again within five years

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According to Mars Finance, Hong Kong Financial Secretary Paul Chan Mo-po revealed that there are no plans to withdraw funds from the Exchange Fund again within the next five years. He previously disclosed that Hong Kong would transfer HKD 150 billion (USD 19 billion) from the Exchange Fund, which is used to maintain the peg between the Hong Kong dollar and the US dollar. This proposed withdrawal is the first since 1984.

Chan stated that there will be no such measures in the medium term and does not intend for withdrawals to become “a regular practice.” The main role of the Hong Kong Exchange Fund is to support the HKD/USD exchange rate within the trading band of 7.75 to 7.85, thereby maintaining financial stability and investor confidence.

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