Press release

Interest rate of the second interest payment for iBond Series due 2015

The following is issued by the Hong Kong Monetary Authority:

The Hong Kong Monetary Authority (HKMA), as representative of the Hong Kong Special Administrative Region Government (HKSAR Government), announces today (Friday) the relevant per annum interest rate for the second interest payment of iBond Series due 2015 (Issue Number 03GB1506R; Stock Code: 4214) (the Bonds) issued under the Retail Bond Issuance Programme of the Government Bond Programme.

According to the Issue Circular dated 28 May 2012 for the Bonds, the second interest payment of the Bonds is scheduled to be made on 24 June 2013, and the relevant interest rate is scheduled to be determined and announced on 7 June 2013 as the higher of the prevailing Floating Rate and Fixed Rate.

On 7 June 2013, the Floating Rate and Fixed Rate are as follows:-

Floating Rate: +3.73%(1)
Fixed Rate: +1.00%

Based on the Floating Rate and Fixed Rate set out above, the relevant interest rate for the second interest payment is determined and announced as 3.73% per annum.

Hong Kong Monetary Authority
7 June 2013

**************************************
(1)

Month
Year-on-year rates of change in the 2009/10-based Composite Consumer Price Index (%)
November 2012
+3.70
December 2012
+3.70
January 2013
+3.00
February 2013
+4.40
March 2013
+3.60
April 2013
+4.00
Arithmetic Average
+3.73