Following is a question by the Hon Chan Chun-ying and a reply by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, in the Legislative Council today (July 30):
 
Question:
 
     The Hong Kong Monetary Authority (HKMA), in collaboration with the Hong Kong Association of Banks, launched the Anti-Scam Consumer Protection Charter (Charter) and the Charter 2.0 in 2023 and last year respectively. In July this year, HKMA launched the Charter 3.0 in collaboration with other regulators, with a view to jointly combatting financial fraud and scams targeting the Hong Kong public through establishing a collaborative framework with technology firms and telecommunications firms. In this connection, will the Government inform this Council:
 
(1) whether it knows if HKMA has, since the launch of the Charter and the Charter 2.0, reviewed participating institutions' implementation of the various principles under the Charter and the Charter 2.0 and the effectiveness thereof; if HKMA has, of the details; if not, the reasons for that;
 
(2) as the Charter 3.0 further extends the co-operating parties to include the technology and telecommunications sectors, so as to combat financial fraud through cross-sector co-operation, of the specific objectives which the Government and HKMA expect to achieve, and the performance indicators formulated for such objectives; and
 
(3) as the Charter 3.0 provides that participating institutions will fulfill Charter commitments based on their business models in a voluntary manner, how HKMA ensures, on this premise, that participating institutions can effectively dovetail with the policy direction and deliver the overall intended outcomes?
 
Reply:
 
President,
 
     In recent years, phishing scams have become prevalent. Scammers would pose as reputable merchants to obtain citizens' credit card and bank account details for monetary gain. In response, the Hong Kong Monetary Authority (HKMA) and the Hong Kong Association of Banks (HKAB) jointly launched the "Anti-Scam Consumer Protection Charter" (Charter 1.0) in June 2023 to enhance public awareness of safeguarding credit card and personal information. All 23 card-issuing banks and 15 merchant institutions in Hong Kong participated in Charter 1.0, committing not to send instant electronic messages to customers with embedded hyperlinks to request personal and credit card information online, and to convey the message of "Beware of scams" to the public through various channels.
 
     As scammers expanded their tactics to impersonate various financial institutions, such as banks, securities firms, insurers, Mandatory Provident Fund trustees, the HKMA introduced the "Anti-Scam Consumer Protection Charter 2.0" (Charter 2.0) in April 2024. Over 300 financial institutions and merchants joined Charter 2.0, extending its coverage to more aspects of daily life, including financial services, food and beverage, logistics, transport, tourism, retail.
 
     Scams continue to evolve. Scammers not only use traditional telecommunications tools like phone calls or SMS to reach out to victims, but also exploit online platforms. Governments and regulators worldwide have increasingly recognised the critical role of technology and telecommunications firms in combating scams and fraud. The HKMA, the Securities and Futures Commission, the Insurance Authority and the Mandatory Provident Fund Schemes Authority jointly launched the "Anti-Scam Consumer Protection Charter 3.0" (Charter 3.0) in July 2025, to establish a collaborative framework with technology and telecommunications firms to combat financial scams and fraud targeting the Hong Kong public. Charter 3.0 also received full support from the Consumer Council, the HKAB, the Hong Kong Police Force (HKPF) and the Office of the Communications Authority.
 
     Having consulted the HKMA, my reply to the various parts of the question is as follows:
 
(1) The HKMA has been reviewing the implementation of Charter 1.0 and Charter 2.0. Statistics from the HKPF show that the number of phishing scams decreased from 4 322 in 2023 to 2 731 in 2024, with losses dropping from HK$102 million to HK$54 million over the same period. This reflects that Charter 1.0 and Charter 2.0 have helped raise public awareness and curb phishing scams.
 
(2) Charter 3.0 expands participation to include technology and telecommunications firms, marking a new chapter of cross-sector collaboration among financial, technology and telecommunications industries in combating fraud. Charter 3.0 aims to enhance effectiveness in four key areas. First, regarding reporting of suspected scams and fraud, participating firms will put in place user reporting functions and establish direct and efficient channels for financial regulators to report and follow up on suspected scams and fraud. Second, for vetting of advertisers, participating firms will adopt a risk-based approach to verify advertisers, while developing internal policies and tools to monitor the advertisements and contents on their platforms relating to financial products or services. Third, concerning removal of fraudulent advertisements, participating firms commit to enforcing their terms of service by detecting and removing financial scam advertisements or contents which violate platform policies. Fourth, for enhancing public awareness, participating firms will collaborate with financial regulators and the financial industry to launch various anti-scam campaigns to raise public vigilance against scams.
 
     The cross-sector collaboration enabled by Charter 3.0 will raise the barriers to execute scams, while helping the public better protect themselves against scams and reduce potential losses.
 
(3) Charter 3.0 covers major overseas and Mainland information technology platforms operating in Hong Kong, including instant messaging app, social media, video streaming and search engine, as well as nearly all major telecommunications service providers, including fixed network operators, mobile network operators and internet service providers. Given the diversity of platforms and services, participating firms will adopt proportionate measures based on their business scopes and models as appropriate, to implement the principles in Charter 3.0. This approach allows technology and telecommunications firms to leverage their tools and strengths to prevent scams and safeguard their users, and provide them with the flexibility to adapt to evolving tactics and patterns of scams, with a view to enhancing the capacity and effectiveness of Hong Kong's overall anti-scam ecosystem. The HKMA, together with other regulators, will maintain communication with participating firms to ensure effective measures are tailored to their service models and the latest scam tactics, thereby helping the public guard against scams.
 
     Combating financial scams requires collective efforts across different sectors of society. The Government will continue to implement multi-faceted measures and enhance cross-sector collaboration, so as to strengthen the security of Hong Kong's financial system while providing better protection for the public.
 
     Thank you, President.

Ends/Wednesday, July 30, 2025
Issued at HKT 14:18

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