A Groundbreaking Move in Banking
The Hong Kong Institute of Bankers (HKIB) recently welcomed six virtual banks as new corporate members, according to a press release on January 2. These fresh faces in the banking sector include Airstar Bank Limited, Fusion Bank Limited, Livi VB Limited, Ping An OneConnect Bank (Hong Kong) Limited, SC Digital Solutions Limited, and WeLab Bank Limited. With this addition, the HKIB is strutting its stuff with a total of 103 corporate members and over 6,000 individual members. Now that’s a party!
A CEO’s Vision for the Future
Carrie Leung, the CEO of HKIB, noted that the arrival of these virtual banks signals a new era—not just for HKIB, but for the entire banking landscape in Hong Kong. She infused some high hopes into the mix by suggesting that this development reflects the exponential growth of the local Fintech sector. And let’s be honest, who doesn’t love technology shaking things up?
Fintech: The Next Big Thing
HKIB is not just about the glitz of new members; it’s dedicated to pumping up the Fintech development in Hong Kong. Offering training focused on cybersecurity and digital banking, the HKIB is all in on reducing uncertainties in the evolving tech landscape. They have plans galore for 2020, including industry initiatives to promote talent exchange and lure professionals into fintech training programs. Now that’s making lemonade out of lemons!
HKMA Steps Up Its Game
While the HKIB is boosting its membership roster, the Hong Kong Monetary Authority (HKMA) is also in the game. Back in November 2019, HKMA signed a Memorandum of Understanding with a subsidiary of the People’s Bank of China, aiming for a Proof-of-Concept trade finance platform—a mouthful, right? It’s aimed at linking ongoing projects: HKMA’s eTradeConnect and the PBoC’s Trade Finance Platform. Think of it as banks playing nicely with one another.
A Digital Currency Update on the Horizon
In the same month, eyes turned to the HKMA as they revealed their research into applications for a central bank digital currency. They are collaborating with Hong Kong Interbank Clearing Ltd. and three other banks along with the blockchain consortium R3. With a major report expected in Q1 2020, the stakes are high. Will it open new doors for digital currencies? Stay tuned!
