WeLab Bank has facilitated the disbursement of HK$61.56 million in subsidies through the H.S. Chau Foundation’s “Dear Girlfriends” programme, utilising digital banking solutions for social initiatives. The initiative supported 18,656 full-time female students from 354 government and subsidised secondary schools preparing for the 2025 Hong Kong Diploma of Secondary Education (HKDSE) examinations. Leveraging its digital settlement system, including the Faster Payment System (FPS) and stored-value facilities such as e-wallets, WeLab Bank streamlined the disbursement process. This approach significantly reduced administrative costs, with expenses per beneficiary dropping by approximately 90% compared to previous manual methods. Students registered and redeemed their subsidies…

The Hong Kong government launched its sustainability disclosure roadmap on 10 December 2024, marking a significant step forward for ESG reporting in Hong Kong. It outlines a phased approach to implementing new ESG reporting standards. From 1 January 2025, all Main Board issuers must disclose under the New Climate Requirements, based on IFRS S2 Climate-related Disclosures. This will initially follow a “comply or explain” approach. The plan targets to align Hong Kong’s ESG reporting standards with the International Financial Reporting Standards – Sustainability Disclosure Standards (ISSB Standards) by 2028. Large-cap issuers, specifically those in the Hang Seng Composite LargeCap Index,…

The Hong Kong Stablecoins Bill, gazetted on 6 December 2024, aims to establish a regulatory regime for fiat-referenced stablecoins (FRS) issuers. The bill will strengthen the regulatory framework for virtual asset (VA) activities by addressing financial stability risks associated with fiat-referenced stablecoins (FRS), ensuring sufficient user protection, and leveraging the benefits of virtual assets and their underlying technologies. Under the proposed licensing regime, any person conducting the following activities must be licensed by the Monetary Authority (MA). These include issuing fiat-referenced stablecoins (FRS) as part of their business operations in Hong Kong, issuing FRS designed to maintain a stable value…

The Hong Kong Association of Banks (HKAB) is spearheading an initiative to phase out cheques, starting with a study of 10 industries heavily reliant on this traditional payment method, according to the South China Morning Post. These sectors include stockbrokers, charities, estate management firms, legal and auditing practices, insurance companies, and small and medium-sized enterprises (SMEs). The study aims to identify the challenges hindering these industries from fully embracing electronic payments. HKAB Chairwoman Luanne Lim reported a consistent decline in cheque usage, with an annual decrease of 10-20 percent. This trend is expected to persist as digital payment options become…

The Hong Kong Monetary Authority (HKMA) announced the expansion of its Open API portal with a new spatial dataset providing location details on self-service banking machines. This dataset covers five types of machines—cash deposit machines, cheque deposit machines, integrated cash and cheque deposit machines, passbook update machines, and video teller machines—operated by 20 retail banks in Hong Kong. With this addition, the HKMA’s website now offers three one-stop datasets for physical banking facilities, including data on branches and ATMs launched last year. These existing datasets have also been updated with additional information such as accessibility features at branches and the…

Hong Kong-based digital asset company OSL Group has announced plans to invest up to US$30 million in the development of the PayFi ecosystem, a growing segment of the Web 3.0 space. This initiative aims to accelerate the global growth of PayFi, a key component of Web 3.0 that facilitates payment products and services using cryptocurrencies and stablecoins. OSL plans to collaborate with various industry players, including card issuers, lenders, payment providers, and digital wallet service providers, to enhance the PayFi ecosystem. By integrating PayFi with regulated digital asset platforms, OSL seeks to ensure regulatory compliance, improve fiat settlement processes, and…

Singapore-based Oversea-Chinese Banking Corp (OCBC), Southeast Asia’s second-largest banking group, reaffirmed its commitment to Hong Kong by opening a 76,000-square-foot office in the region’s  Kai Tak area. According to the South China Morning Post, this expansion forms part of a broader HK$1.5 billion (US$192 million) investment plan to bolster the bank’s presence there over the next few years. The bank’s plans include expanding its workforce in Hong Kong and Macau by 10-15% over the next five years, reflecting its belief in the growth opportunities within these markets, especially within the Greater Bay Area (GBA). Frances Hui Wai-han, Chief Operating Officer…

HSBC has introduced its first open banking feature on the HSBC HK mobile app, allowing customers to view real-time account balances from Bank of China Hong Kong and Hang Seng Bank. This functionality is part of the Hong Kong Monetary Authority’s Interbank Account Data Sharing (IADS) initiative and is expected to expand to include more banks. The feature aims to provide customers with greater transparency across their multi-bank finances, supporting better financial decision-making. HSBC plans to enhance this foundation with future app features, including expense tracking, budget and wealth management tools, improved offers, and faster loan approvals. As of February…

In the last two years, some large banks have been hit with very public, lengthy – over 10 hours – disruption of their digital banking services. And that’s just the incidents we are aware of. Cases like these highlight the fears bankers may have in moving away from legacy systems in the name of innovation. Such unreliability erodes customer trust, impacts revenue, and perhaps most importantly, raises the ire of regulators. This fear factor also makes it harder for traditional banks to embrace going digital to fight neobanks and other digital-first financial institutions. Thus, many bankers and C-suites take a…

SBI VC Trade, a subsidiary of SBI Holdings, has reached a basic agreement to take over customer accounts and assets from DMM Bitcoin. DMM Bitcoin is a Japanese crypto exchange that announced plans to shut down following a significant security breach. The transfer, which includes customer holdings in Japanese yen and cryptos, is expected to be completed by March 2025. DMM Bitcoin faced a devastating hack in May that resulted in the theft of approximately 4,500 Bitcoin, valued at around US$320 million at the time. Despite assurances to reimburse customers fully, the exchange was unable to recover financially and has…

Japanese crypto exchange DMM Bitcoin is shutting down after a devastating Bitcoin loss in May, according to a Cointelegraph report. The exchange suffered a severe security breach that resulted in the theft of approximately 4,500 Bitcoin, valued at around US$320 million at the time. Despite assurances to customers that their deposits would be fully reimbursed, DMM Bitcoin has been unable to recover financially from the incident and has decided to cease operations. The exchange plans to transfer all customer accounts and assets to SBI VC Trade, another Japanese exchange operator, by March 2025. This agreement will ensure that customers can…

Hong Kong banks are steadily advancing their operational resilience capabilities, according to Carmen Chu, Executive Director of Banking Supervision at the Hong Kong Monetary Authority (HKMA). Speaking at a recent industry session on the topic, Chu highlighted the progress made by banks in establishing frameworks that outline critical operations and tolerance levels for disruptions. All banks in Hong Kong have now developed these frameworks, with major banks already tightening their tolerance limits—in some cases, improving from a matter of days to within hours—based on feedback from the HKMA. This progress is crucial as the industry faces increasing pressure to withstand…

MUFG Bank, a subsidiary of Mitsubishi UFJ Financial Group, has announced plans to acquire WealthNavi, a Japanese robo-advisory firm, through a tender offer. The offer is set at ¥1,950 per share, representing an 84% premium over WealthNavi’s recent closing price, according to Reuters. This acquisition, valued at approximately ¥99.7 billion (about US$664 million), aims to enhance MUFG’s financial technology services and support Japan’s initiative to encourage greater household investment in financial markets. WealthNavi, in which MUFG already holds over a 15% stake, managed assets exceeding ¥1 trillion as of January, making it Japan’s largest robo-advisor. Featured image credit: Edited from…

Raja Teh Maimunah, the CEO of Malaysia’s first digital islamic bank, ‪AEON Bank‬ is among one of the country’s most iconic leaders in the banking space. With a career spanning over 3 decades, Raja Teh says AEON Bank may be her final stint in banking. In this interview she talks to us about her leadership journey, and the legacy she wants to leave behind This episode of Banking After Hours is brought to you by AWS and is part of a series highlighting Malaysia’s top women leaders in banking. This interview is also available on Spotify: Listen here Apple Podcast:…

Hex Trust, a provider of regulated institutional digital asset custody and services, announced the launch of a new electronic trading platform. Designed to address critical risks highlighted by the collapse of FTX, the platform allows clients to trade digital assets directly from their secure, cold storage accounts. This eliminates the need to transfer assets to exchanges, significantly reducing counterparty risk. Assets remain within Hex Trust’s licensed custody infrastructure throughout the entire trading process, offering an additional layer of security. The platform provides access to deep liquidity and competitive pricing from a global network of providers. It supports a diverse range…

InvestHK has opened a new office in Cairo, Egypt, aiming to attract businesses from the Middle East and North Africa (MENA) region to Hong Kong. This initiative seeks to bolster economic and business cooperation between Hong Kong and the MENA region, aligning with the 2024-25 Budget’s plan to strengthen economic and trade relations with the Middle East. InvestHK Director-General of Investment Promotion, Alpha Lau, made the announcement at the seventh HK International Egyptian Folklore and Oriental Dance Festival. Lau said, “We aim to support corporates in Egypt and the MENA region to establish their businesses in Hong Kong and to…

Checkout.com, a global digital payments provider, has announced its expansion into the Japanese market. This strategic move includes the launch of direct acquiring capabilities and the establishment of a new Tokyo office, reinforcing Checkout.com’s presence in Asia. The company has appointed Noriko Sasaki, a seasoned financial services professional with over 20 years of experience, including leadership roles at Citigroup, PwC, and Accenture, as Country Manager for Japan. Sasaki will lead the company’s efforts to deliver localised payment solutions tailored to the needs of both domestic and international businesses operating in the country. Checkout.com’s direct acquiring capabilities aim to improve payment…

Tokyo-based digital bank Habitto has secured US$11.7 million (JPY1.8 billion) in Series A funding. The round was led by QED Investors and DG Daiwa Ventures (DGDV), with participation from Scrum Ventures, Anthemis Group, and other existing investors. This marks QED Investors’ first investment in Japan. Sean Park, Co-founder of Anthemis Group will be joining the board as an observer as part of the round. Habitto’s mobile app integrates financial tools and free advice, including personalised guidance from digital advisors. The platform is designed to reduce financial anxiety among young Japanese users, offering tailored financial strategies to help them navigate economic…

Fusion Bank, a virtual bank based in Hong Kong, has successfully launched its next-generation core banking system, developed in collaboration with China’s WeBank. The system, designed to enhance operational efficiency and enable quicker adaptation to market changes, marks a major milestone in the strategic partnership between the two banks, which began in September 2023. The core banking project, initiated in December 2023, encompassed the integration of over 150 subsystems across key areas, including deposits, loans, and foreign exchange services for both retail and corporate clients. Leveraging WeBank’s proprietary digital banking technology, the project was completed within 10 months, complying with…

Hong Kong Fintech Week 2024 concluded on 1 November 2024, drawing over 37,000 attendees from more than 100 economies. The event, themed “Illuminating New Pathways in Fintech,” explored the latest advancements in financial technology, with discussions centered around topics such as AI, blockchain, green finance, and cross-border technology integration. The flagship event was organised by the Financial Services and the Treasury Bureau and Invest Hong Kong, alongside co-organisers the Hong Kong Monetary Authority (HKMA), the Securities and Futures Commission (SFC), and the Insurance Authority (IA). Financial Secretary Paul Chan opened the conference, emphasising Hong Kong’s attractiveness for fintech startups. He…