March 31 (Reuters) - Assets at the Exchange Fund, which is used to back the Hong Kong dollar, totalled HK$3,016.9 billion ($388.91 billion) at the end of February, the Hong Kong Monetary Authority (HKMA) said on Monday.
The figure was HK$2.8 billion higher than the total at the end of January, with foreign currency assets rising HK$18.4 billion while Hong Kong dollar assets decreased by HK$15.6 billion, the city's de facto central bank said in a statement.
The HKMA said the rise in foreign currency assets was mainly due to increased holding of foreign currency deposits and valuation gains on foreign currency investments. These increases were partly offset by a decrease in foreign currency assets connected with the redemption of Certificates of Indebtedness.
The decline in Hong Kong dollar assets was mainly due to fiscal drawdowns, which was partly offset by additional placements received from HKSAR government funds and statutory bodies and valuation gains on Hong Kong equities. ($1 = 7.7573 Hong Kong dollars) (Reporting by Twinnie Siu in HONG KONG; Editing by Sunil Nair)