Fed up with the peg

Hongkongers are getting sick and tired of the effects of the peg to America’s sinking currency.

Hong Kong’s peg to the US dollar doesn’t always make sense to the people it affects most and never more so than today, when Hongkongers are faced with sky-rocketing property prices and a currency that is fast losing value against all of its neighbours.

In a way, the city is caught between China and America. To maintain the peg, Hong Kong has no choice but to import America’s 0% interest rates, which has made it extremely attractive for mainlanders to borrow money in Hong Kong to buy property -- loans in Hong Kong dollars are only going to shrink as China’s currency is allowed to rise against the US dollar.

But the effect...

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