Hong Kong Deposits Rise in July; HKD Deposits Up 6.2% YTD
On.cc · 2 SOURCESabout 3 hours ago1 MIN
Summary
The Hong Kong Monetary Authority (HKMA) released its latest statistical bulletin showing that total deposits at authorized institutions rose 0.9 percent month-on-month in July 2026. HKD deposits increased by 0.9 percent in the month, with cumulative growth of 6.2 percent from January through July. RMB deposits reached 11,254 billion yuan at the end of July, representing a 2.9 percent monthly increase. The HKD loan-to-deposit ratio fell to 70.7 percent from 71.5 percent in June, as deposit growth outpaced loan expansion.
Key Points
- Total authorized institution deposits grew 0.9% month-on-month in July; cumulative increase of 5.8% from year start
- HKD deposits rose 6.2% year-to-date through July, with 0.9% monthly gain in July
- RMB deposits reached 11,254 billion yuan, up 2.9% from the previous month
- Cross-border RMB trade settlement remittances increased to 13,837 billion yuan in July
- HKD loan-to-deposit ratio declined from 71.5% in June to 70.7% in July
Why It Matters
The continued growth in Hong Kong deposits, particularly in HKD and RMB denominated accounts, reflects confidence in the Hong Kong financial system amid shifting interest rate expectations. The falling loan-to-deposit ratio suggests improved liquidity conditions for local banks, potentially creating room for more competitive lending rates.
The continued growth in Hong Kong deposits, particularly in HKD and RMB denominated accounts, reflects confidence in the Hong Kong financial system amid shifting interest rate expectations. The falling loan-to-deposit ratio suggests improved liquidity conditions for local banks, potentially creating room for more competitive lending rates.