Hong Kong dollar banknotes are arranged for a photograph on April 23. The HKMA has intervened several times this year to defend its currency peg even before reports emerged that US authorities have considered undermining the Hong Kong dollar’s peg to the US dollar as a way to punish China for its actions towards Hong Kong. Photo: Bloomberg
Opinion
Opinion
Macroscope
Attacking Hong Kong dollar peg would hurt those the US hopes to help
- Washington should bin such proposals as the people of Hong Kong stand to lose the most from undermining the Linked Rate Exchange System
- Pursuing them in an attempt to punish China risks immediate damage to US international standing as well as introducing more risks into the global economy
Hong Kong dollar banknotes are arranged for a photograph on April 23. The HKMA has intervened several times this year to defend its currency peg even before reports emerged that US authorities have considered undermining the Hong Kong dollar’s peg to the US dollar as a way to punish China for its actions towards Hong Kong. Photo: Bloomberg