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Thursday, August 27, 2015
Would Hong Kong be Affected By the Gulf States' Tendency to Abandon Dollar Peg?
ANBOUND

If the oil producing countries give up on linked exchange rate system, this will have huge impact on China's Hong Kong.

The linked exchange rate system adopted by Hong Kong which pegged the Hong Kong dollar with the US dollar, had in the past, led to massive controversy and debate.

Anbound’s research team disagrees with the view that Hong Kong should give up on the linked exchange rate system. This is because Hong Kong is obviously different from the country dominated by single industry – the free port mechanism provides Hong Kong with greater room to maneuvre.

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