The Exchange Fund's total assets amounted to $1.11 trillion at the end of June, $2.1 billion higher than the May figure, the Monetary Authority says.

Foreign currency assets rose $5.4 billion. This was due mainly to interest and dividend income from foreign currency assets and an increase in securities purchased but settled in the following month, which were partly offset by valuation of foreign currency investments.

Hong Kong dollar assets went down $3.3 billion, mainly due to fiscal drawdowns and a decrease in Exchange Fund Bills and Notes issued but not yet settled, which were partly offset by an increase in bank borrowings and valuation of Hong Kong equities held by the Exchange Fund.

The Monetary Base stood at $287.6 billion at the end of June, up $100 million from the end of May.The Backing Assets went up $1.1 billion, to $322.6 billion. The increase was attributable mainly to the interest from investments.

Reflecting this, the backing ratio surged from 111.81% at the end of May to 112.16%.