The Hong Kong Monetary Authority published highlights of The Hong Kong Mortgage Corporation Limited’s (HKMC) annual results for 2024, covering loan purchase and securitisation activity, bond issuance, and the performance of its mortgage insurance, SME guarantee, annuity and reverse mortgage businesses. The HKMC reported an audited consolidated loss after tax of HK$418 million for 2024 and issued HK$103.5 billion of corporate debt during the year. Asset purchases totalled HK$3.9 billion, including HK$5.1 billion of loans purchased from the Special 100% Loan Guarantee under the SME Financing Guarantee Scheme and HK$52 million from the Dedicated 100% Loan Guarantee Schemes, while the outstanding loan portfolio stood at HK$95.5 billion at 31 December 2024. Funding activity included a multi-tenor HKD benchmark bond transaction of HK$12 billion and a third social bond issuance of approximately HK$23.8 billion equivalent across HKD, Renminbi and US dollar, with debt securities outstanding of HK$148.3 billion at year-end; credit ratings remained AA+ (S&P Global Ratings) and Aa3 (Moody’s). New Mortgage Insurance Programme loan drawdowns were HK$47.9 billion, and the application periods for the 80% and 90% SME guarantee products were extended for two years until end-March 2026, while the Special 100% Loan Guarantee expired at end-March 2024 and two sector-specific DLGS programmes expired in October 2024. The accounting loss was attributed largely to the impact of property price declines on the reverse mortgage business, with adjusted profit after tax stated as HK$787 million after specified exclusions; the HKMC’s capital adequacy ratio was 19.9% at 31 December 2024 and solvency ratios for its annuity and general insurance subsidiaries under the risk-based capital regime effective 1 July 2024 were about 1.7 times and 4 times respectively. The 2024 annual report is expected to be published on the HKMC’s website in due course.

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