Offshore loans for Chinese corporates drove Hong Kong’s loan volume, totalling to US$66.7b or a 19.5% increase compared to 2023.

Hong Kong emerged as the leader in the Asia Pacific (ex-Japan) syndicated loan market in 2024, achieving a total loan volume of US$113.3b or a 12.7% YoY increase.

The offshore loans for Chinese corporates as a significant factor driving Hong Kong’s loan volume. These loans totalled US$66.7b, reflecting a 19.5% increase compared to 2023.

Key contributors included the US$10.8b refinancing by Bytedance, which was the largest refinancing deal in the region for the year, and a US$4.5b sustainability-linked loan by Syngenta Group, marking the largest such financing in Asia Pacific in 2024.

However, despite the impressive growth, Hong Kong experienced some challenges. The territory faced a weakened pipeline of blue-chip borrowers and muted M&A financing activity.

The loan activity slowed significantly in the fourth quarter, with volumes dropping to US$25b across 45 deals, down from US$38b across 58 deals in the previous quarter.