Hong Kong announces 4.00% interest rate for Silver Bond Series due 2027

News

The Hong Kong Monetary Authority set the fourth interest payment rate for the Silver Bond Series due 2027 at 4.00% per annum, maintaining consistency with prior payments.

The Hong Kong Monetary Authority (HKMA) has announced that the fourth interest payment for the Silver Bond Series due 2027 will bear an interest rate of 4.00% per annum. This payment is scheduled for October 23, 2026, and continues the rate pattern observed in the bond’s previous payments.

Evidence and context

The interest rate determination is governed by the bond’s issuance terms, which specify using the higher value between a Floating Rate and a Fixed Rate. On October 8, 2026, the HKMA confirmed the Floating Rate at 1.80% and the Fixed Rate at 4.00%, leading to the announcement of 4.00% as the applicable rate for this installment. The bond, identified as Issue No. 03GB2710R under the Infrastructure Bond Programme, was originally issued on October 23, 2024, and will mature in October 2027.

This 2027 Silver Bond Series, a retail government bond offered by the Hong Kong Special Administrative Region Government, was initially issued with a minimum denomination of HK$10,000 and an issue size of HK$50 billion, extendable to a maximum of HK$55 billion. Interest payments have been consistently set at 4.00% per annum for all prior payments, including the first, second, and third payments announced on April 9, 2025, October 9, 2025, and April 9, 2026, respectively.

The Silver Bond Series targets retail investors, providing a stable fixed-income instrument with semi-annual interest payments. The next interest payment dates, scheduled for April 23, 2027, and October 25, 2027, will have their rates determined closer to those dates. As of October 8, 2026, those future rates remain unannounced.