Exchange Rate Calculator

The exchange rate between the Hong Kong Dollar (HKD) and the South African Rand (ZAR) has exhibited notable fluctuations over the past several months. This report provides an analysis of the HKD/ZAR exchange rate trends, key influencing factors, and future projections.

Recent Exchange Rate Trends

Between August 28, 2024, and February 24, 2025, the HKD/ZAR exchange rate experienced significant variability. The highest rate during this period was 2.4531 ZAR per HKD on January 10, 2025, while the lowest was 2.2022 ZAR per HKD on September 27, 2024. The average exchange rate over these six months was approximately 2.3235 ZAR per HKD. Overall, the HKD appreciated by 3.49% against the ZAR during this timeframe.

In 2024, the exchange rate ranged from a low of 2.2022 ZAR per HKD on September 27 to a high of 2.4662 ZAR per HKD on February 23. The average rate for the year was 2.3493 ZAR per HKD, with the HKD appreciating by 3.74% against the ZAR over the year.

Factors Influencing the Exchange Rate

Several factors have contributed to the fluctuations in the HKD/ZAR exchange rate:

• Economic Indicators: Differences in GDP growth, inflation rates, and interest rates between Hong Kong and South Africa can impact the exchange rate. For instance, higher interest rates in South Africa may attract foreign investment, strengthening the ZAR, while lower rates could have the opposite effect.

• Geopolitical Events: Political stability, trade agreements, and international relations influence investor confidence and currency strength. Events such as elections or policy changes in either country can lead to exchange rate volatility.

• Central Bank Policies: Decisions by the Hong Kong Monetary Authority and the South African Reserve Bank regarding monetary policy, such as changes in interest rates or interventions in the foreign exchange market, directly affect the exchange rate.

Future Projections

Forecasts for the HKD/ZAR exchange rate suggest a gradual appreciation of the HKD against the ZAR. Projections indicate that the exchange rate could reach 2.59 ZAR per HKD by December 2025, representing an 8.17% increase from current levels. The anticipated range for 2025 is between 2.33 and 2.59 ZAR per HKD, with an average annual rate of 2.43 ZAR per HKD.

In the short term, the exchange rate is expected to experience modest fluctuations. For example, a 1.23% increase to 2.42 ZAR per HKD is projected over the next month. The market sentiment is currently bullish, with technical indicators such as the 14-day Relative Strength Index (RSI) at 61.86, suggesting neutral conditions. The current rate is above both the 50-day and 200-day Simple Moving Averages (SMA), indicating a potential upward trend.

Conclusion

The HKD/ZAR exchange rate has shown considerable variability over the past several months, influenced by economic indicators, geopolitical events, and central bank policies. While short-term fluctuations are expected, projections indicate a gradual appreciation of the HKD against the ZAR through 2025. Investors and businesses engaged in transactions between Hong Kong and South Africa should monitor these trends and consider the underlying factors affecting the exchange rate to make informed decisions.