Property News · December 14, 2017

Explainer: What Hong Kong’s interest rate increase means for Hibor, prime and mortgages


Hong Kong Monetary Authority (HKMA), the city’s de facto central bank, today raised its base lending rate for the third time this year following a similar move by the US Federal Reserve, increasing it by 25 basis points to 1.75 per cent.
What is the base lending rate?
It is the interest that banks pay on money they borrow from the Hong Kong Monetary Authority. Individuals or companies do not borrow money at this rate.
How do higher base lending rates affect mortgage rates in Hong Kong?
It…

Source : South China Morning Post
Read more…Explainer: What Hong Kong’s interest rate increase means for Hibor, prime and mortgages

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