HKMA participates in BIS Renminbi Liquidity Arrangement
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The following is issued on behalf of the Hong Kong Monetary Authority:
The Bank for International Settlements (BIS) announced today (June 25) (Note 1) the Renminbi Liquidity Arrangement (RMBLA), which has been developed with the People’s Bank of China (PBoC), to provide liquidity to central banks through a new reserve pooling scheme.
The Hong Kong Monetary Authority (HKMA) is pleased to join the initial group of central banks in Asia and the Pacific participating in the arrangement (Note 2), which will complement existing BIS liquidity facilities in providing additional liquidity access to participating central banks in times of market volatility, hence contributing to financial stability.
About the BIS
The BIS, founded in 1930, is an international financial organisation with a membership of 63 shareholding central banks. Its mission is to serve central banks in their pursuit of monetary and financial stability, to foster international cooperation in those areas and to act as a bank for central banks. The BIS has set up its Asian Office in Hong Kong in July 1998 and an Innovation Hub in Hong Kong in 2019.
(Note 1) For further details on RMBLA, please refer to BIS’ press release.
(Note 2) The arrangement initially includes a group of central banks in Asia and the Pacific, including the Bank Indonesia, the Bank Negara Malaysia, the HKMA, the Monetary Authority of Singapore and the Banco Central de Chile, as well as the PBoC.