Hong Kong Fintech Week 2022 ‘s second day was every bit as exciting as the first, with a packed schedule of events, announcements, and sessions with some of the biggest names in the industry. 

With so much to see and do, day two of Hong Kong Fintech Week was a resounding success – and here are the highlights in case you missed it. 

Hong Kong gateway for fintechs between China and global markets

The Secretary for Commerce and Economic Development, Hong Kong SAR, Mr.  Algernon Yau, said that Hong Kong is already one of the world’s most competitive economies and an important gateway connecting the mainland to global markets. 

He concluded the new initiatives announced in the policy statement during the first day of the Hong Kong Fintech Week 2022 would generate even more opportunities for FinTech companies in Hong Kong. 

APAC’s diversity powering a “financially inclusive Asia”

Mr. Jin Liqun, President and Chair of the Asian Infrastructure Investment Bank, said that Hong Kong has a significant role in improving access to financial services and helping millions of people across Asia climb out of poverty.

He noted that Asia’s incredible diversity means there is no magic bullet for achieving financial inclusion across the region. Public and private capital must work together to leverage their respective strengths.

“Asia’s FinTech sector has already shown the tangible benefits and awesome potential of a financially inclusive age. It is now our shared responsibility to ensure we realise the true potential of FinTech to foster a more prosperous and equitable Asia for all,” he said.

Cyberport and the Hong Kong Science Park leading fintech innovation development

Professor Sun Dong, the Secretary for Innovation, Technology, and Industry, Hong Kong SAR, remarked on the significant progress of Hong Kong’s two flagship innovation and technology organisations.  

Cyberport has over 400 FinTech companies and has produced three FinTech unicorns. In contrast, Science Park has partnered with the HKMA to develop a Virtual Lab for financial institutions and FinTech ventures to accelerate their R&D activities.

“All these new initiatives will inject strong impetus to our I&T development, including the vibrant growth of the FinTech cluster,” he said.

Trusting talent across industries and organisations

At a Fireside chat hosted by Ms. Yamilette Cano, the Founder of Louder Global, Mr. Richard Li, the Chairman and Chief Executive of Pacific Century Group, said that one of his strategies for better-serving consumers in different countries was to trust country managers for day-to-day operations, who have a more precise understanding of what local customers need.

He suggested that a company looking to nurture long-term partnerships must leverage across different industries and organisations, thorough conduct research, and ensure the partnership has multiple layers. It is also necessary for partners to demonstrate what they have to offer and to be truthful with each other.

Insurtech survives China COVID shutdown with internet and data

Mr. Clement Cheung, the Chief Executive of the Insurance Authority (IA), characterised the recent pandemic as a wake-up call that alerted the insurance industry to the structural imbalance created by heavy dependence on mainland customers. 

In the future, the IA is looking to use data integrity to build a more vibrant ecosystem, improve the data gaps around green finance, and look at the “dark side” of innovation with a focus on cybersecurity.

Greater Bay Area poised “for the Big Bang of finance”

Mr. Nicolas Aguzin, Chief Executive Officer of Hong Kong Exchanges and Clearing, said the Greater Bay Area is one of the world’s most exciting economic development zones.

He said that fintech had become part of the fabric at almost every level of the Mainland’s economy, and China’s innovation engine is continuing to run at full speed. This trend is being fuelled by strong policy support and a seemingly endless supply of talented people in science, technology, and business. 

“Many of those people are finding their way to the GBA. They are drawn by the innovation happening in Shenzhen, and the world-class universities and international financial hub of Hong Kong, along with the vibrant startup ecosystem of both cities. It’s like having Silicon Valley and Wall Street all in one place. This is very unique,” he said.

The fintech talent pool in the spotlight

The Director of Shenzhen Financial Regulatory Authority, Mr. He Jie, said that Shenzhen would reward 20 million RMB to any fintech companies that set up shop in Shenzhen.

“I think that talent cultivation will become a key point in the Greater Bay Area as talent cultivation becomes a key point in FinTech development. Already we have licensed more than 1,000 students for our level one programme and some for level two. We are working hard on this, but more can be done,” he said.

 HSBC: “Sustainability is on top of every company’s agenda”

Ms. Ella Arwyn Jones, the Managing Editor of FinanceAsia, moderated a panel in which Mr. Barry O’Byrne, Chief Executive of HSBC’s Global Commercial Banking division, spoke today about the future of banking. 

He praised digitisation for giving internationalisation opportunities to every company. He was also optimistic about the future of sustainable banking. 

“One thing that is very encouraging is that over the last several years, sustainability has gone from being on every company’s agenda to being at the top of every company’s agenda. We want to work with our customers and support each of them on a transition to more sustainable banking initiatives,” he said.

Ant Group global FinTech training platform

The Ant Group announces a strategic partnership for its global FinTech training platform to bolster high-quality talent.

The strategic partnership with InvestHK on a global FinTech training platform, 10×1000 Tech for Inclusion (“10×1000”), is expected to enhance talent development, improve the quality of MSMEs, increase female participation, and promote the digital economy in Hong Kong.

Financial digitalisation key for micro, and small businesses

As part of the Fireside Chat series exploring FinTech Innovations, Ms. Ella Arwyn Jones of FinanceAsia asked Mr. Charles Li, the Founder of Micro Connect, how he plans to transform the Chinese financial ecosystem and promote the idea of common prosperity.

Micro Connect takes advantage of China’s massive digitalisation and makes equity-like investments but not equity.

“The key is to do it in a new and digitally revolutionary way. We call it DRC – daily revenue contracts. So basically, we’re not charging a fixed rate; we’re charging a daily revenue split. You’ll set up a percentage of everyday revenue, and you’ll automatically take your returns every day,” he said.