Hong Kong Monetary Authority

KYC & CDD

HKMA Encourages Remote Onboarding to Manage Covid-19 Challenges

By Editors | 07/04/2020

AIs and SVF licensees are encouraged to continue the provide the public convenient account opening and access to banking and payment services.

Structural Regulation

In-Depth: Making Sense of Digital Bank Policy

By Jamie Lloyd Evans | 07/04/2020

Industry veteran Jamie Lloyd Evans takes a detailed look at digital banking regimes in Asia, and the stated – and unstated – motivations behind them.

Credit Risk

HKMA Sets Out Treatment of Loans Under 100% Guarantee Scheme

By Editors | 06/04/2020

IRB AIs should seek the HKMA’s exemption approval to apply the standardised approach for SME loans granted under the 100% Guarantee Scheme.

Liquidity Risk

HKMA Frees Up Regulatory Reserves, Liquidity Buffers for Banks

By Editors | 05/04/2020

Regulatory reserves held against possible credit losses will be reduced by half. Banks are encouraged to use liquidity buffers built up under the LCR and LMR regimes.

KYC & CDD

The Four e-KYC Models Around the World

By Claus Christensen | 05/04/2020

Claus Christensen at Know Your Customer Ltd identifies four e-KYC models in use across the world, but says that harmonisation and consolidation of these schemes is likely.

Structural Regulation

Xiaomi-backed Virtual Bank Launches Hong Kong Pilot

By Editors | 31/03/2020

The pilot will allow 2,000 friends and relatives of Airstar, Xiaomi and AMTD Group employees to trial new virtual banking services under the HKMA’s sandbox.

Capital Adequacy

HKMA Defers Basel III, Reviews ECL Provisioning Expectations

By Editors | 30/03/2020

Aside from deferring Basel III adoption, the HKMA is considering the implications of Covid-19 on the application of expected credit loss provisioning.

Clearing & Post-Trade

Hong Kong to Update List of FSPs Under Clearing Obligation

By Editors | 27/03/2020

Eight additional entities are proposed to be included on the list of Financial Services Providers under the OTC derivatives clearing regime.

Structural Regulation

ZA Bank Announces Launch as Hong Kong’s First Virtual Bank

By Editors | 25/03/2020

ZA Bank – backed by mainland insurer ZhongAn Online P&C Insurance and Sinolink Group – won one of the first approvals to set up a virtual bank in March last year.