HK's March composite interest rate declines to 0.98%

Hong Kong's composite interest rate declined 0.37% month-on-month to 0.98% in March, according to the Monetary Authority of Hong Kong.

The month saw a 37-basis-point decline, which mirrored across-the-board drops in local interest rates, including savings, time deposit and interbank interest rates.

The composite interest rate was 1.35% in February, and 1.68% in January. Peter Pang, the Authority Deputy Chief Executive, said that he expected the composite interest rate to be further influenced by changes in U.S. interest rates and domestic liquidity conditions.

In March, the local interbank offering rates dipped 18 to 130 basis points across the board in March, and banks lowered their best lending rates by 50 basis points on Mar. 20 and the savings deposit rates on lesser magnitudes.