Investors are once again questioning the sustainability of Hong Kong's foreign exchange regime. Critics argue the Hong Kong currency's peg to the dollar, dating to 1983, no longer makes sense as the city's links with China strengthen. Authorities have already intervened at least five times this year to defend the Hong Kong dollar, spending over $11 billion.

Does a peg linking the Hong Kong dollar to the Chinese yuan, or a basket of currencies, make more sense? Could hedge funds attack the currency? Investors like George Soros and Bill Ackman have tried, and failed, to break Hong Kong's dollar peg. How many more times will the government need to intervene? Carlos Casanova, senior economist for Asia at Union Bancaire Privée, breaks down Hong Kong's currency regime and what's ahead. He joins John Lee and Katia Dmitrieva on the Asia Centric podcast.

Related news: https://www.bloomberg.com/news/articles/2025-07-15/hong-kong-defends-fx-peg-for-a-fifth-time-as-pressure-extends

Investors are once again questioning the sustainability of Hong Kong's foreign exchange regime. Critics argue the Hong Kong currency's peg to the dollar, dating to 1983, no longer makes sense as the city's links with China strengthen. Authorities have already intervened at least five times this year to defend the Hong Kong dollar, spending over $11 billion.
Does a peg linking the Hong Kong dollar to the Chinese yuan, or a basket of currencies, make more sense? Could hedge funds attack the currency? Investors like George Soros and Bill Ackman have tried, and failed, to break Hong Kong's dollar peg. How many more times will the government need to intervene? Carlos Casanova, senior economist for Asia at Union Bancaire Priv&eacute;e, breaks down Hong Kong's currency regime and what's ahead. He joins John Lee and Katia Dmitrieva on the Asia Centric podcast.
Related news: https://www.bloomberg.com/news/articles/2025-07-15/hong-kong-defends-fx-peg-for-a-fifth-time-as-pressure-extends

Some of the world's largest and fastest-growing markets, economies and companies are in Asia. Every Thursday, John Lee from Bloomberg Intelligence speaks with experts and newsmakers about the big ideas and trends moving money across the region.

Some of the world's largest and fastest-growing markets, economies and companies are in Asia. Every Thursday, John Lee from Bloomberg Intelligence speaks with experts and newsmakers about the big ideas and trends moving money across the region.

Asia Centric by Bloomberg Intelligence

Hong Kong Dollar and Why Hedge Funds Target It

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/96e403bb-70d9-4c35-8bf3-b3230075fa11/transcript