Hong Kong's regulator and monetary authority have dismissed rumours that bank withdrawals are being capped.

The Hong Kong Monetary Authority yesterday warned that rumours stating that it was considering capping cash withdrawals from banks were “totally fake and unfounded".

The jurisdiction continues to be affected by anti-government protesters, who object to Hong Kong possibly having the power to extradite suspected criminals to the mainland, and who oppose what they see as growing encroachment by China on Hong Kong’s legal sovereignty. Protests, which at times have involved violence, have gone on since June this year.

One concern has been how the political unrest could disrupt Hong Kong’s role as a global financial centre.

The HKMA said it had “noticed rumours about HKMA implementing a new regulation to cap the daily amount of cash withdrawal from banks”. It continued: “The Hong Kong banking system is robust and sound. Banks have sufficient supply of bank notes to meet the needs of the public. The HKMA urges the public to be vigilant about malicious rumours and verify information carefully.”