The empire strikes back: Hong Kong and the decline of sterling in the 1960s

Schenk, C.R. (2004) The empire strikes back: Hong Kong and the decline of sterling in the 1960s. Economic History Review, 57(3), pp. 551-580. (doi: 10.1111/j.1468-0289.2004.00288.x)

Abstract

The aftermath of the sterling devaluation of 1967 is usually portrayed only in terms of the performance of the British economy, but it had more far-reaching implications, exposing the changed financial relationship between Britain and its overseas dependencies and prompting the end of the sterling reserve system. This article explores the reasons why Britain was forced to offer its first exchange guarantee to Hong Kong in May 1968. Prolonging the colonial monetary system devised in the period from the 1930s to the late 1960s created problems for Britain that shifted the balance of power to the point where Hong Kong and other colonies were able to force a re-negotiation of their link to sterling.

• Item Type: Articles
• Status: Published
• Refereed: Yes
• Glasgow Author(s) Enlighten ID: Schenk, Professor Catherine
• Authors: Schenk, C.R.
• Subjects: H Social Sciences > HC Economic History and Conditions; H Social Sciences > HG Finance
• College/School: College of Social Sciences > School of Social and Political Sciences > Economic and Social History
• Journal Name: Economic History Review
• ISSN: 0013-0117