BEA and Hang Seng lower HKD prime rates following U.S. rate cut

BEA will also cut its USD prime rate from 7.25% to 7.00% per annum.

The Bank of East Asia (BEA) and Hang Seng Bank have both adjusted their interest rates in response to recent U.S. monetary policy shifts and evolving local economic conditions.

Effective 3 November, BEA will reduce its HKD prime rate from 5.375% per annum to 5.25% per annum.

At the same time, the bank will significantly lower its HKD standard savings rate from 0.125% to 0.001% per annum for balances of $5,000 or more.

BEA will also cut its USD prime rate from 7.25% to 7.00% per annum, whilst leaving the USD savings rate unchanged at 0.125% for balances of US$1,000 or more.

Hang Seng Bank’s changes took effect slightly earlier, on 31 October. The bank reduced its HKD prime rate by 12.5 basis points, bringing it down from 5.125% to 5.00% per annum.

It also slashed HKD savings rates to 0.001% per annum for all deposit tiers above $5,000, whilst balances below that threshold will now earn no interest. The bonus rate on integrated accounts with total relationship balances of $1m or more remains unchanged at 0.001% per annum.

Hang Seng attributed the changes to the recent U.S. rate cut and local macroeconomic conditions, noting it will continue to monitor developments closely.

Both banks’ decisions mark a continuation of easing trends, with implications for savers seeking returns in a lower-rate environment.