Hong Kong Q1 2026 Credit Card Receivables Down 3.8%, HKMA Reports
The Hong Kong Monetary Authority (HKMA) released its credit card lending survey results for Q1 2026, revealing a 3.8% decline in total card receivables to HK$158.0 billion as of March 31. This marks a reversal from the 8.7% surge recorded in Q4 2025, which was driven by festive spending and salaries tax payments. Delinquency and rescheduling rates ticked up slightly, with the combined ratio rising to 0.45% at the end of March, compared to 0.40% in the prior quarter. However, asset quality showed resilience, as the charge-off ratio improved to 0.56% from 0.62% in Q4 2025, signaling fewer write-offs during the period. Seasonal Volatility in Focus The decline in receivables aligns with historical patterns, where balances typically contract after the spending-heavy fourth quarter. A similar trend was observed in Q1 2025, when receivables fell 5.8% quarter-on-quarter to HK$152.8 billion. Seasonal factors, including post-holiday spending slowdowns and reduced consumer activity, remain a dominant influence on credit card debt levels in Hong Kong. Despite the quarterly drop, the Q1 2026 credit card receivable figure of HK$158.0 billion still represents year-over-year growth from HK$152.8 billion at the same point in 2025. This signals a steady expansion in consumer credit usage, underpinned by an increase in the number