This research extends the study of Boscaljon and Ho1 and test the effect of market response to bank loan announcement in the Hong Kong banking market after the 1997 Asian crisis. The study also investigates whether bank is still “special” in the financial market by comparing the market response to bank loan announcement and non-bank loan announcement. Finally, the study examines how loan characteristics influence the market response to bank loan announcement. The main findings of our study are consistent with the previous results documented for the U.S., Canada and Hong Kong markets, and further confirm the “uniqueness” of banks in the financial market. Moreover, we find that market response is significant positively related to borrower’s debt ratio, and there is also a strong evidence of information leakage problem for nonbank loan announcements in the Hong Kong stock market.