The recent performance of the Hong Kong Dollar (HKD) against the Singapore Dollar (SGD) reflects ongoing interventions by the Hong Kong Monetary Authority (HKMA) amid fluctuating capital flows. As of late December 2025, the HKD is trading at 0.1652 to the SGD, slightly below its three-month average of 0.1666, indicating a stable range movement between 0.1651 and 0.1682. This relative stability comes after significant intervention by the HKMA, which sold HKD to maintain its peg against the USD when the currency appreciated to its strong-side limit and later bought HKD when it approached its weak-side limit. Analysts noted that HKD stabilizations were supported by increased demand stemming from record equity purchases from mainland China.
Meanwhile, the SGD has been influenced by the Monetary Authority of Singapore's (MAS) monetary policy adjustments designed to support economic growth amid low inflation and the impact of U.S. tariffs. Recent decisions to lower the rate of appreciation of the SGD's nominal effective exchange rate band reflect a responsive approach to the weaker economic indicators, including a moderation in GDP growth and core inflation. As such, experts predict that the SGD may face downward pressure if global trade challenges persist, especially concerning key exports that have been affected by U.S. tariffs.
Given these dynamics, forecasters suggest that the HKD to SGD exchange rate will likely remain within the current trading band as both currencies respond to their respective central bank policies and broader economic conditions. As the HKMA continues to monitor market developments and the MAS reassesses its stance amid economic uncertainties, businesses and individuals engaging in international transactions may want to watch for any potential shifts in policies or economic indicators that could influence future currency movements.
