IMF reaffirms Hong Kong's role as major int'l financial center

HONG KONG -- The International Monetary Fund (IMF) on Wednesday affirmed Hong Kong's status as a major international financial center in a staff report.

The staff report, released by the IMF Board, said Hong Kong has robust institutional frameworks, substantial capital and liquidity buffers, high-quality financial sector regulation, and a well-functioning Linked Exchange Rate System (LERS).

It recognizes Hong Kong's strongly recovering economy with post-COVID normalization of economic activities, and also points out that the Hong Kong Special Administrative Region (HKSAR) government is proactively solidifying Hong Kong's status as an international financial center and strengthening impetus for economic growth and competitiveness.

Paul Chan, financial secretary of the HKSAR government, said he welcomes the IMF's highly positive evaluation of Hong Kong.

"The staff report commends Hong Kong's financial resilience amid the pandemic and challenging external environment, and recognizes the HKSAR government's efforts in bolstering Hong Kong's long-term economic and financial developments," he said.

Eddie Yue, chief executive of the Hong Kong Monetary Authority, said he welcomes the IMF's reaffirmation of the robustness and resilience of Hong Kong's banking and financial system.

"As pointed out by the IMF, the LERS continues to function smoothly, providing a solid anchor to the economy and financial system," he said.