About the Hong Kong Dollar
The Hong Kong dollar is the currency of Hong Kong. Most banknotes are issued by three commercial banks, HSBC, Standard Chartered and Bank of China (Hong Kong), under the supervision of the Hong Kong Monetary Authority.
Since 1983 the Hong Kong dollar has been linked to the US dollar, and since 2005 it has been allowed to move only between 7.75 and 7.85 per dollar. The Monetary Authority buys or sells Hong Kong dollars whenever the rate reaches either end of that band, and its base rate follows the US Federal Reserve.
Because of the link, the Hong Kong dollar's rate against the euro, the pound or the yuan follows the US dollar's. Hong Kong is also the largest offshore centre for the Chinese yuan.
Paying in HKD
- Account details
- Hong Kong does not use IBANs. An account is identified by a 3-digit bank code, a branch code and the account number. Payments from abroad need these together with the bank's SWIFT/BIC code.
- FPS and CHATS
- Hong Kong's Faster Payment System sends Hong Kong dollar and yuan payments within seconds, 24 hours a day, and can use a phone number or email instead of account details. Large payments settle through CHATS, which handles Hong Kong dollars, US dollars, euros and yuan.
- Yuan in Hong Kong
- Hong Kong banks hold offshore yuan (CNH) accounts, so yuan can be received and paid in Hong Kong without mainland China's capital controls.
- Severe weather
- When typhoon signal No. 8 or a black rainstorm warning is in force, Hong Kong bank branches close. Since September 2024 the markets stay open in severe weather, and electronic payments through CHATS and FPS keep running, but anything that needs a branch or paperwork waits until the warning is lifted.
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