The Financial Leaders Forum (FLF), chaired by the Financial Secretary, Mr Paul Chan, held its 10th meeting today (November 28).

     Members were first briefed by the Hong Kong Monetary Authority (HKMA) on the development of virtual banking in Hong Kong. They noted that eight virtual banks were granted licenses by the HKMA in the first half of 2019 and they planned to launch banking products and services in phases. Members agreed that development of virtual banking in Hong Kong would help accelerate fintech development, improve customer experience and promote financial inclusion. The HKMA will continue to facilitate the development of virtual banking in Hong Kong while ensuring robust supervision to maintain overall stability and effective operation of the banking system. 

     Members were also briefed on the development of Hong Kong as a premier fund hub. Members noted the Government's multi-pronged approach to sharpen Hong Kong's competitive edge in the asset and wealth management sector, including diversifying Hong Kong's fund structures, attracting family offices, providing a facilitating tax environment and expanding the fund distribution network. Concerted efforts by the Government and financial regulators would be made to enhance overseas promotion and ensure effective implementation of the various fund-related initiatives. 

     In addition, members were briefed on the work of the Government and financial regulators in maintaining the financial stability of Hong Kong. They noted that different facets of Hong Kong's financial system have been functioning smoothly and in an orderly manner so far amidst challenges in the global, regional and local environment. The Government and financial regulators have implemented a number of resilience measures and conducted stress tests to strengthen the capacity of the financial system in withstanding shocks. The Government and financial regulators would continue to stay alert and closely monitor the market situation.

Ends/Thursday, November 28, 2019
Issued at HKT 18:32

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