HKMA's response to US Fed's Interest Rate Decision
The following is issued on behalf of the Hong Kong Monetary Authority:
The Federal Open Market Committee of the United States Federal Reserve (the Fed) just announced its decision to cut thetarget range for the federal funds rate by 25 basis points, to 4.5-4.75 per cent. The HKMA has reduced the Base Rate to 5 per cent according to the established mechanism with immediate effect.
The Fed further cut interest rates as expected by the market to implement less restrictive monetary policy. However, the pace of future rate cuts remains uncertain as it is subject to US economic data, which will be influenced by fiscal, economic and trade policies. Furthermore, monetary policies across the major economies are not entirely in sync. The risk of global financial market volatility should continue to be closely monitored.
Our financial and monetary markets have continued to operate in a smooth and orderly manner. Market liquidity condition has remained stable, and the Hong Kong dollar exchange rate stays steady. Under the Linked Exchange Rate System, Hong Kong dollar interbank rates generally track the US dollar counterparts, while shorter-tenor interbank rates tend to be also influenced by the supply and demand of Hong Kong dollar funding in the local market such as seasonal effects and capital market activities.
With regard to deposit and lending rates, banks will normally take into account factors such as funding supply and demand in the interbank market, the level of interbank rates and their own funding cost structures to access the merit and extent of adjustments, if any. The rate-cut cycle in the US is still at its initial stage. Interest rates might still remain at relatively high levels for some time. The public should carefully assess and continue to manage the interest rate risk when making property purchase, mortgage or other borrowing decisions.
The rate-cut decision in the US will not affect our financial and monetary stability. The HKMA will closely monitor market developments including trends of interest rates and movements of funds around the global markets to ensure financial and monetary stability.
Korean restaurant brand Samsic establishes foothold in Hong Kong
Invest Hong Kong announced today (April 3) that Korean restaurant brand Samsic has opened its first outlet in Hong Kong, offering authentic Korean cuisine to customers in the city.
Associate Director-General of Investment Promotion Mr Arnold Lau said, "Korean food and pop culture are popular in Hong Kong and there is a strong Korean community in the city. Together with its worldwide reputation as a culinary capital in Asia, Hong Kong is an ideal place for Samsic to expand in the region. I wish it every success and beyond."
He added, "Further to the visit by our Director-General of Investment Promotion, Ms Alpha Lau, to Seoul and a delegation of Korean food and beverage companies visiting Hong Kong to explore business opportunities last month, we are delighted to see the positive outcome from our investment promotion efforts."
The Executive Director of BMJ Samsik HK Limited, Mr Chan Hyung Hwang, said, "Hong Kong has a sophisticated customer base with high purchasing power. Its status as a global trading hub and friendly business environment also appeals to us to set up our presence in the city."
Mr Chan added, "We target to establish a strong presence in Hong Kong and plan to open more than 10 Samsic Korean Soup Restaurants in key areas throughout Hong Kong, including Tsim Sha Tsui and Wan Chai. Hong Kong is an international city with a dynamic culture. We aim to take the lead in promoting traditional Korean cuisine globally via the city."
Located on Shelley Street in Central, the new restaurant offers a variety of authentic Korean dishes, including pork bone soup, blood sausage soup rice, stone pot rice, braised pork bone and hangover soup. Its dishes originate from a region in Korea called Byeongcheon-myeon, which is famous for the traditional Korean dish called black pudding soup, a favourite among many Koreans.
For a copy of the photos, please visit www.flickr.com/photos/investhk/albums/72177720324814422.
Korean restaurant brand Samsic establishes foothold in Hong Kong Source: HKSAR Government Press Releases
Korean restaurant brand Samsic establishes foothold in Hong Kong Source: HKSAR Government Press Releases
