Foreign exchange guide to Hong Kong and the Hong Kong dollar
What's in this Hong Kong currency guide?
The official currency of Hong Kong (country code: HK) is the Hong Kong dollar, with symbol HK$ and currency code HKD.
Representing a little less than 2% of the foreign exchange market daily turnover, the Hong Kong dollar is the world’s thirteenth most traded currency. It is subdivided into 100 cents.
The Hong Kong dollar has been pegged to the US dollar since 1983 and the USD/HKD exchange rate has been limited to a range of 7.75 to 7.85 since 2005. The Hong Kong dollar’s peg is backed by one of the world's largest foreign exchange reserves (Hong Kong’s official reserves in 2016 were worth US$360 billion).
Hong Kong dollars are issued by the country’s government, but also by three local banks – HSBC, Standard Chartered and Bank of China – providing those banks have on deposit the US dollar equivalent of what they print.
The Hong Kong dollar reached an all-time low against the US dollar in September 1983 when USD/HKD reached 9.6 (HKD/USD 0.104), and its all-time high came in March 1978 when USD/HKD traded at just 4.6 (HKD/USD 0.217).
The physical HKD currency consists of coins and banknotes. The coins come in denominations of 10 cents, 20 cents, 50 cents, and $1. The banknotes come in denominations of $10, $20, $50, $100, $500, and $1,000.
The banknotes feature images of famous Chinese and Hong Kong historical figures, such as Sun Yat-sen, Bao Gong, and Sir Catchick Paul Chater. The design of the currency is constantly being updated, so the physical appearance of the coins and banknotes may vary slightly over time.
Save money and time by Ordering your Hong Kong dollar online from Travelex, you get better rates and can pick up the HKD cash locally or even on travel day at the airport.
Another popular option is to use a Pre-paid Travel Card. Your Debit/Credit Card provider will charge you 2% from market mid-rate, but your bank may also charge an extra 3% as an “Overseas Transaction Charge” plus “Overseas ATM” fees for withdrawing cash.
For card purchases if offered a choice of currencies always select to Pay in Hong Kong dollar otherwise you may get much worst exchange rates.
Hong Kong is a vibrant and exciting destination for travelers, offering a unique blend of modern and traditional influences.
One of the main attractions of Hong Kong is its rich culture and history. Visitors can explore traditional Chinese temples, such as the famous Wong Tai Sin Temple, and take in the sights and sounds of the city's bustling street markets. The city also has several museums and art galleries showcasing the art and culture of the region.
Hong Kong is also known for its excellent food, with a wide range of international and local cuisines on offer, from Cantonese dim sum to international fine dining. Visitors can experience the city's vibrant nightlife by visiting its many bars and nightclubs.
The city is also a shopper's paradise, with plenty of options for luxury shopping and street markets for more affordable goods. Visitors can also take a day trip to the nearby city of Shenzhen, which is known for its electronics and fashion markets.
For nature lovers, Hong Kong offers plenty of opportunities to explore the great outdoors, from hiking on the city's many trails to visiting the beautiful Hong Kong Wetlands Park and Tai O Fishing Village.
The city is also known for its skyline, which is one of the most iconic in the world, and visitors can take in the views from Victoria Peak, or enjoy the nightly light show of the Symphony of Lights.
However, Hong Kong is also known for its air pollution, noise pollution, and the political situation in recent years, which travelers should be aware of before visiting.
Overall, Hong Kong offers visitors a unique blend of modern and traditional influences, with plenty of opportunities to explore the city's culture, history, food, and natural beauty. Visitors should be prepared for the fast-paced and crowded nature of the city, as well as the potential for pollution and political unrest.
The domestic currency in Hong Kong is the Hong Kong dollar.
The three letter currency code for the Hong Kong dollar is HKD — symbol is HK$.
It is the domestic currency in   Hong Kong.
No, the Hong Kong dollar is freely available and convertible. See guide: What is a closed currency?
To get a good (and fair) exchange rate when sending money to Hong Kong you need to find and compare exchange rates for International Money Transfers (IMTs).
The available FX rates for sending money abroad can be very different to the mid-market (wholesale) rate which you see reported online and in the News.
You should especially compare your own bank's exchange rates to those available from Money Transfer specialists to see how much you can save - we make that calculation easy in the below table.
When sending money to Hong Kong it’s important to compare your bank’s rates & fees with those we have negotiated with our partner money transfer providers. To get a better deal you should follow these 4 simple steps :
Use the above calculator to compare the exchange rates of FX specialist providers rates versus your bank's standard rates you can hopefully save around 5% and maybe more - end result is more Hong Kong dollar deposited into the recipient bank account and less margins and fees kept by the banks!
Managing your money effectively while living and working abroad can be challenging, but there are several steps you can take to ensure that your finances are in order.
By following these tips and managing your money effectively, you can reduce financial stress and enjoy your experience living or doing business in Hong Kong.
Expat life in Hong Kong can be both exciting and challenging. Hong Kong is a vibrant and fast-paced city with a rich culture, history, and a mix of modern and traditional influences. It is also a major financial and business hub in Asia.
One of the main benefits of expat life in Hong Kong is the high standard of living and the availability of amenities and services. The city has a wide range of international schools, hospitals and medical facilities, supermarkets, and other amenities catering to expats.
Hong Kong is also known for its excellent transportation system, making it easy to navigate and commute around the city.
However, the cost of living in Hong Kong is quite high, especially for housing. The city has some of the most expensive real estate in the world and finding affordable housing can be a challenge for expats.
The city is also known for its fast-paced lifestyle and high stress levels, which can be challenging for some people. The air pollution and noise pollution can also be an issue.
Additionally, Hong Kong has a high population density and the city can feel crowded and congested. Some expats may find the city to be quite crowded and busy, which can be overwhelming.
The political situation in Hong Kong has been uncertain in recent years, which can be a concern for some expats. Protests and unrest have been taking place, and travelers should be aware of the situation and take precautions.
Overall, expat life in Hong Kong can be a rich and fulfilling experience, but it also has its challenges. Expats should be prepared for the high cost of living, fast-paced lifestyle, and the potential for political unrest.
Here we list some key points for expats and businesses to consider when managing financial dealings in Hong Kong:
Understand Hong Kong dollar currency exchange rates: Exchange rates can have a big impact on your finances, so it is important to keep an eye on the HKD exchange rate and consider using a currency exchange service or a credit card that does not charge foreign transaction fees to get the best exchange rate.
Use a local Hong Kong dollar bank account: A local HKD bank account can make it easier for you to manage your finances and pay bills while you are in Hong Kong. It may also be more convenient to use a local HKD bank account to make purchases and withdraw cash.
Research local laws and regulations: It is important to understand the local laws and regulations that apply to financial transactions in Hong Kong. This can help you avoid legal issues and ensure that you are complying with local requirements.
Consider the tax implications: It is important to understand the tax implications of living or doing business in Hong Kong. This can help you plan your finances and ensure that you are paying the correct amount of tax.
Seek financial advice: If you are unsure of how to manage your finances in Hong Kong, it is a good idea to seek the advice of a financial professional who is familiar with the local financial system. This can help you make informed decisions and avoid financial pitfalls.