Hong Kong’s overnight yuan borrowing rate jumped to the highest point in nearly five months.

The CNH Hong Kong Interbank Offered Rate benchmark (CNH Hibor), set by the city’s Treasury Markets Association (TMA), rose to 21.07933 percent for overnight contracts, the highest level since Jan. 6. The previous fix was at 5.35283 percent.

The offshore yuan firmed sharply due to the elevated yuan borrowing costs and was traded at 6.8108 per dollar as of 0321 GMT.

The implied overnight deposit rate for CNH rose to 22.045 percent, after soaring as much as 45.754 percent in early trade on Wednesday.

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