1. HK linked exchange rate
The Mechanism of the Linked Exchange The new arrangement centres on Certificates of Indebtedness (CI), which are issued by the Exchange Fund (EF) to the 3 note-issuing banks (HK Bank, Standard Chartered Bank and Bank of China). ... China's support Premier Chu recently reassured HK about China's total support to HK's fixed exchange rate regime. ... Dependence The link with the US$ means that HK$ also link with US$ exchange standard, and HK"s economy becomes US-dependent, i.e. the value of HK$ depends much on the performance of US$ and the US economy rather than our own. .....
- Word Count: 1827
- Approx Pages: 7
- Has Bibliography
- Grade Level: High School