HK sounds the alarm on Chinese capital flight

16-May-2019 Intellasia | Telegraph | 6:00 AM Print This Post

egulators in Hong Kong are increasingly nervous about the accelerating pace of capital outflows from China after the collapse of trade talks, fearing a wave of financial turbulence that could jeopardise the hub’s longstanding dollar peg.

The Hong Kong dollar has fallen to a 33-year low and is testing the limits of the enclave’s currency board regime. The Hong Kong Monetary Authority has been forced to intervene twice over the last week.

Net outflows from China through the ShanghaiHong Kong pipeline jumped to a four-year high of $1.6bn on Tuesday, the largest one-day exodus since China’s exchange rate crisis in 2015. Once it reaches Hong Kong it is being recycled rapidly across the rest of…

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https://www.telegraph.co.uk/business/2019/05/14/hong-kong-sounds-alarm-chinese-capital-flight/

 


Category: Hong Kong

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