This is the unedited press release from the Hong Kong Monetary Authority.


The Hong Kong Monetary Authority (HKMA) announced today (Tuesday) the composite interest rate at the end of April 2009.1

The composite interest rate, which is a measure of the average cost of funds of banks, declined slightly by 2 basis points to 0.27% at the end of April 2009 from 0.29% at the end of March 2009 (see Chart 1 in the Annex). This followed a decline of 4 basis points in March 2009. The decline in the composite interest rate in April 2009 was brought about by downward adjustments in interbank and time deposit rates (see Chart 2 in the Annex).2

""""Quantitative easing in the US and strong capital inflows into Hong Kong were the principal factors underscoring the low level of the average cost of funds of banks. Looking ahead, the composite interest rate will continue to be influenced by domestic as well as external monetary conditions,"""" said Mr Peter Pang, Deputy Chief Executive of the HKMA.

The historical data of the composite interest rate from the end of the fourth quarter of 2003 to the end of April 2009 are available in the Monthly Statistical Bulletin on the HKMA website (www.hkma.gov.hk). The next data release is scheduled for 18 June 2009 and will provide the composite interest rate at the end of May 2009.


Available at:

http://www.info.gov.hk/hkma/eng/press/press_f.htm