CAD / HKD - Canadian Dollar / Hong Kong Dollar

CAD to HKD Exchange Rate History: Linking Canada’s Resources to Asia’s Financial Gateway

The CAD to HKD exchange rate connects Canada’s commodity-driven, Western economy to Hong Kong’s tightly managed, finance-centric currency environment. This pair reflects energy prices, interest rate spreads, global capital flows, and the strength of the U.S. dollar due to HKD’s peg. Movements in this pair are often subtle, but geopolitical shifts and risk sentiment have historically influenced its trajectory.

1990s: Stability in Two Different Worlds

• In the early 1990s, CAD/HKD hovered around 5.80 to 6.20.

• Canada experienced moderate economic growth but also fiscal pressures and commodity price volatility.

• Hong Kong maintained its USD peg at 7.80 HKD per USD (since 1983), leading to a highly stable HKD.

Although the CAD floated freely, movements were mostly gradual against the HKD due to the pegged nature of the latter.

2000–2008: Oil Boom and Asia’s Rise

The early 2000s saw:

• A Canadian resurgence with rising oil prices.

• Hong Kong cementing its role as Asia’s financial hub, recovering post-1997 Asian Financial Crisis.

CAD/HKD climbed from 5.60 in 2002 to above 7.00 by 2008, driven by:

• High commodity demand from China (Canada’s trade partner),

• Strengthening CAD amid U.S. dollar weakness (indirectly affecting HKD).

2009–2014: Post-Crisis Divergence

• Following the 2008 financial crisis, the CAD remained resilient due to Canada’s strong banking system and fast rebound in oil prices.

• Hong Kong’s peg continued to ensure exchange rate stability, but capital inflows from QE-driven U.S. policy created housing and liquidity bubbles.

CAD/HKD moved between 6.80 and 7.70, with fluctuations mostly driven by CAD performance.

Key moments:

• 2011 saw a CAD peak near 8.00 HKD, before retreating with falling oil prices.

2015–2019: CAD Weakens, HKD Stays Anchored

• The oil price collapse in 2014–2015 significantly weakened the Canadian dollar.

• CAD/HKD fell from 7.70 in 2014 to near 5.80 by 2016.

• Meanwhile, Hong Kong’s dollar remained stable, but political tensions (Umbrella Movement) started brewing.

Despite diverging fundamentals, the HKD’s tight USD peg continued to mute exchange rate volatility.

2020–2024: Pandemic, Inflation, and Policy Shifts

This period saw a mix of:

• Pandemic disruptions, global interest rate hikes, and commodity shocks.

• Hong Kong political developments, with rising Beijing influence, affecting capital flows.

CAD/HKD ranged from 5.65 to 6.30 between 2020 and 2024.

Factors at play:

• Bank of Canada raised rates aggressively post-COVID.

• HKD remained stable within its peg but saw intermittent capital outflows due to regional uncertainties.

• CAD was held back by inconsistent oil demand and global growth fears.

As of April 2025, CAD/HKD trades around 5.95, reflecting a broadly stable relationship amid global financial normalization.

✅ Key

🟢 = CAD appreciated vs HKD
❌ = CAD depreciated vs HKD
⚠️ = Mixed / Range-bound

📊 CAD to HKD Exchange Rate by Decade

The CAD to HKD exchange rate has shown moderate but meaningful shifts over time. With Hong Kong’s currency still firmly pegged to the U.S. dollar, future CAD/HKD movement will depend heavily on Canadian macro trends—especially oil prices, interest rate spreads, and North American growth—and how global capital flows react to Hong Kong’s evolving economic autonomy.