Hang Seng Bank is currently navigating a challenging environment marked by rising interest rates, which are squeezing profit margins and impacting overall financial performance. The bank is actively implementing strategies to mitigate these pressures, focusing on optimizing its asset and liability management.

Specifically, Hang Seng Bank is working to re-price its loan portfolio and adjust deposit rates to maintain a healthy net interest margin. The bank is also focusing on generating fee income from other banking services. These efforts are aimed at offsetting the negative impact of higher funding costs.

Analysts will be closely monitoring Hang Seng Bank’s performance in the coming quarters to assess the effectiveness of these strategies and the overall impact of the changing interest rate environment on the bank’s profitability and stability.