Hong Kong Interbank Offered Rate (HIBOR) is an interest rate at which banks in Hong Kong are willing to lend unsecured funds to one another. It is an important benchmark rate in the financial system of Hong Kong and is used to price many financial products, such as mortgages and loans.

HIBOR is published by the Treasury Markets Association (TMA), a financial industry body in Hong Kong. HIBOR is quoted on a day-to-day basis and published at 11:00 am every working day. It is made up of rates for a range of maturities, including overnight, one week, one month, two months and three months.

HIBOR is an important measurement of the availability of capital, providing an indication of liquidity within the banking sector. Banks are more willing to lend at lower rates when more capital is available, and this usually means the market is more stable and prosperous.

HIBOR rates have a direct influence on mortgage rates and other loan products based on the Hong Kong dollar. When HIBOR increases, mortgage rates tend to increase as well; when HIBOR decreases, mortgage rates are expected to go down, making borrowing more affordable.

Hibor also provides an indication of investor sentiment towards the local economy and the performance of Hong Kong-based companies. As such, it is closely watched by investors, and changes in the rate can be seen as an indicator of whether the economy is growing or in decline.

HIBOR is an important tool for banks and lending companies to use as a benchmark for when offering credit and loans, providing more transparency in the credit market and reducing the risk of being misled. It also helps to protect consumers against mis-selling and other forms of irresponsible lending.

Overall, Hong Kong Interbank Offered Rate (HIBOR) is an important indicator of the state of the Hong Kong economy, and provides a key reference rate for borrowers and lenders in the financial sector. It is an effective tool to help protect the interests of both lenders and borrowers, and promote stability and growth in the financial system of Hong Kong.