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HKMA Move To Liberalise Forex Regime Draws Praise
Tom Burroughes
14 November 2014
The Hong Kong Monetary Authority was praised yesterday for scrapping the renminbi daily conversion exchange limit for Hong Kong residents, a move seen as another step to boost the offshore market in the Chinese currency. The Hong Kong Association of Banks also welcomed the move.
Hang Seng Bank and Bank of China (Hong Kong) welcomed the move by the defacto central bank for the jurisdiction.
The move comes as the city prepares for the start on 17 November of the Shanghai-Hong Kong Stock Connect link, sometimes known as the “Through-Train”.
The new measure will create more opportunities for the Hong Kong banking sector by expanding the range of renminbi services and broadening the scope for product innovation. People in Hong Kong will now have more flexibility and choices in managing their wealth management needs,” Hang Seng bank said in a statement.
The bank said it will offer unlimited renminbi conversion services to its personal customers via all branches and e-Banking beginning on 17 November; it also intends to roll out more renminbi investment services and structured products in the near future.