HKMA worried over a looming surge in household debt

It fears it may hit 59% of GDP.

According to BBVA, the head of the HKMA, Norman Chan, warned yesterday that the local property market “remains the biggest risk factor to the stability of the Hong Kong economy.”

Mr. Chan told lawmakers of the HKMA’s concern about a rise in household debt (59% of GDP, close to its historic high of 60% in 2002).

Here's more from BBVA:

Despite recent measures to slow the pace of property price increases, ranging from increasing new land supply to a 15% Buyer’s Stamp Duty (BSD) for non-Hong Kong purchasers, housing prices have climbed to new highs.

The remarks fanned rumors of a new round of tightening measures, possibly as early as this week.