The Hong Kong Monetary Authority (HKMA) signed a Memorandum of Understanding (MoU) on 29 May 2025 with the HKUST Business School. Through the partnership, both parties intend to collaborate on applied cybersecurity research that meets the needs of Hong Kong’s financial sector.

The HKMA-HKUST cybersecurity MoU sets out a strategic framework to drive research and knowledge in cybersecurity, a crucial segment.  The partnership will focus on developing practical applications, emerging threat awareness, and industry-specific talent development.

Under the MoU, both the HKMA and the HKUST Business School will explore innovations related to supervisory technology, also known as suptech, and regulatory technology (regtech) applications, including those powered by large language models (LLMs).

The purpose is to ensure that the research being done is relevant to current and emerging cybersecurity challenges faced by the financial industry. A key part of the initiative involves collaborating directly with financial institutions to validate use cases and ensure research outcomes stay aligned with on-the-ground cybersecurity challenges.

Carmen Chu, Executive Director (Banking Supervision) of the HKMA, said,

“This partnership will leverage the HKMA’s supervisory experience and the HKUST Business School’s academic expertise to address evolving cyber threats to our banking system, thereby safeguarding Hong Kong’s financial stability and integrity.”

Professor Hui Kai-Lung, Acting Dean of the HKUST Business School, added,

“By combining our research capabilities with the HKMA’s regulatory insights, we aim to co-develop impactful solutions that address real-world cybersecurity challenges and contribute to the resilience of Hong Kong’s financial ecosystem.”

The HKMA-HKUST cybersecurity MoU is timely. This is given that in February 2025, a SFC report flagged significant cybersecurity risks among licensed corporations, including the need to combat emerging threats like phishing prevention, remote access protocols and cloud security.

A previous MoU to enhance AI and cybersecurity in Hong Kong was signed between Cisco and Cyberport, focusing on AI network technologies to cultivate technology talent and enhance cybersecurity capabilities.

Featured image: Edited by Fintech News Hong Kong, based on image by User21016237 via Freepik