Yen Falls Below 5 HKD Per 100 Yen Despite BOJ Rate Hike
AM730 · 1 SOURCESabout 3 hours ago2 MIN
Summary
The Bank of Japan raised interest rates by 0.25 percentage points to 1.25 percent on September 18, marking the highest level since 1995, yet the yen continued to weaken against the Hong Kong dollar . The exchange rate for 100 yen fell below the 5 HKD threshold, trading at approximately 4.99 HKD earlier in the day . This development affects Hong Kong residents planning travel to Japan, prompting the need to identify the most favorable exchange methods .
Key Points
- Bank of Japan raised its benchmark interest rate to 1.25 percent, the highest since 1995, but the rate hike failed to support the yen .
- The yen to Hong Kong dollar exchange rate dropped below 5 HKD per 100 yen, trading at around 4.99 HKD earlier on September 18, 2026 .
- Bank telegraphic transfer rates offer the best deals, with HSBC at 4.952 buy/5.032 sell and Bank of China at 4.965 buy/5.031 sell per 100 yen .
- Local money changers like Little Girl (4.98 buy/5.008 sell) and Silver in Lai Chi Kok (4.972 buy/4.999 sell) provide competitive rates without service charges .
- Japan airport exchange counters should be used only for emergencies, as their rates can be over 15 percent worse than Hong Kong rates .
Why It Matters
For Hong Kong travelers, the weaker yen means increased purchasing power in Japan, making it an attractive destination for shopping and dining . However, the variety of exchange options means consumers must compare rates carefully, as the difference between the best and worst rates can exceed 1 percent .
For Hong Kong travelers, the weaker yen means increased purchasing power in Japan, making it an attractive destination for shopping and dining . However, the variety of exchange options means consumers must compare rates carefully, as the difference between the best and worst rates can exceed 1 percent .