I having been charging my client in USD for last few months. Recently client suggested paying me in HKD. Is HKD a good option as compared to USD when receiving funds?

My Native Currency is INR.

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    You might have a slightly higher volatility in the exchange rate with Hong Kong dollars but if you are converting to Indian Rupee, it might not matter much but you will still lose a slight amount I would venture, although compared to INR, HKD has been comparatively more consistent. Sep 9, 2015 at 15:51
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    Welcome to Personal Finance & Money! Please clarify your question. What do you mean by "safe"? What do you mean by a "good option"? You'll get better answers if you state explicitly what your concerns are.
    – dg99
    Sep 9, 2015 at 19:02

1 Answer 1


The Hong Kong Dollar has been pegged to the USD for nearly 30 years and the Hong Kong authorities have fairly strong means to defend the peg. So at first glance it would appear that there is really no difference as long as you are getting 7.75 HKD for each USD that you used to receive.

However, the peg is arbitrary and could be lifted at any time like the removal of the CHF peg to EUR surprised a lot of people in early 2015. As mainland China becomes more integrated it is unclear what will happen to the HKD in the long run. Whether this matters really depends on your contracts. if your contracts are short dated you may only take a discount relative to USD for a few payments before you can try to renegotiate.

It's also worth noting trading HKD for your local INR can be more expensive. Check your local rates.

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    Generally the volume for HKD / INR pair is low and quite often there is no direct conversion. Depends on how funds are received, there maybe implicit double conversion, i.e. HKD to USD to INR
    – Dheer
    Sep 10, 2015 at 3:59
  • Many Hong Kong stocks are now paying dividends in HKD but measured in RMB. This is important to note because this peg, like this post mentions, could go away in the future. More than likely the peg will be tied to, or replaced by, the RMB given the dividend switch. This is, at best, a guess based on what's happening with some of their companies pricing in RMBs. Oct 5, 2015 at 0:16

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