The Hong Kong Monetary Authority (HKMA) has reiterated its commitment to maintaining the Hong Kong dollar’s peg to the US dollar. The HKMA emphasized that the peg remains secure, backed by substantial foreign exchange reserves and a robust currency board system.

According to the HKMA, the current mechanism allows the Hong Kong dollar to trade within a band of 7.75 to 7.85 per US dollar. The authority stands ready to intervene in the market to ensure the exchange rate remains within this range.

Officials dismissed recent speculation regarding potential instability, citing the HKMA’s long track record of successfully managing the peg through various economic cycles. They highlighted the importance of the peg in maintaining Hong Kong’s financial stability and its role as an international financial center.

The HKMA’s statement aims to reassure investors and the public about the stability of the Hong Kong dollar amid global economic uncertainties.