Foreign currency reserves edge down to $3.33t in December

Assets still cover 38% of M3, five times currency in circulation

Hong Kong’s official foreign currency reserve assets stood at $3.33t (US$427.9b) at end-December 2025, easing from $3.34t (US$429.4b) a month earlier, according to figures released by the Hong Kong Monetary Authority (HKMA).

The month-on-month (MoM) decline followed stable conditions in the Exchange Fund’s balance sheet, with the HKMA reporting no unsettled foreign exchange contracts at the end of December or November.

Despite the modest pullback, reserve assets remained substantial, equivalent to more than five times the currency in circulation or about 38% of Hong Kong dollar M3, underscoring the depth of liquidity backing the monetary base.

The HKMA said it will continue to publish Exchange Fund data in line with International Monetary Fund Special Data Dissemination Standard requirements, with additional disclosures on the Exchange Fund’s balance sheet and Currency Board Account scheduled later in January.

1 HKD = 0.1284 USD