HSBC keeps prime rate at 5 percent despite a hike by US Fed

The Hongkong and Shanghai Banking Corporation kept its prime rate unchanged on Thursday, despite a 0.25 percentage point interest rate hike by the US Federal Reserve earlier.

The lender maintained its best lending rate at 5 percent. The rate for its Hong Kong dollar savings deposits also remained the same. 

Other major lenders are expected to follow the move. 

Some analysts said before the decision that a cut of 0.125 percentage points was possible. 

The mortgage-linked one-month Hibor inched down 5 basis points to 2.9 percent on Thursday.

𝗗𝗼𝘄𝗻𝗹𝗼𝗮𝗱 𝗧𝗵𝗲 𝗦𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝗔𝗽𝗽 ↓