HK composite interest rate falls in July

Submitted by admin on Thu, 08/20/2009 - 20:24

Hong Kong's composite interest rate, which is a measure of the average cost of funds of banks, fell to 0.16 percent at the end of July from 0.19 percent at the end of June, the city's Monetary Authority said Wednesday.

Following a fall of five basis points in June, the three-basis-point fall in July was generated by downward adjustments in interbank and time deposit rates.

Authority Deputy Chief Executive Peter Pang said ample liquidity in the banking system continued to underpin the decline in the average cost of funds of banks and keep it at a low level.