Bank of China (Hong Kong) Limited announced on Wednesday that with effect from Aug. 10, its Hong Kong dollar prime rate will be reduced from 8.25 per annum (p.a.).

 

Being of the three bank-note issuing bank in Hong Kong, Bank of China (Hong Kong) will also reduce its Hong Kong dollar savings deposit rate from a maximum of 3 percent p.a. to 2.75 p.a.

 

However, none of the other major banks in Hong Kong have announced their adjustments for prime rates and savings deposit rates.

 

Hong Kong dollar is pegged to US dollar.

 

The US Federal Reserve (Fed) on Tuesday left a key short-term interest rate unchanged at 5.25 percent, marking at least a temporary pause in the two-year long tightening of the monetary policy, the longest unbroken stretch of Fed rate increases in recent U.S. history.

 

(Xinhua News Agency August 10, 2006)