The Hong Kong Monetary Authority (HKMA) issued today a report on its review of virtual banks (VBs).
The review was conducted in 2024, several years after the eight VBs commenced their business in 2020, to look into their operations and impact on the Hong Kong banking system. The review aims to:
- assess how well the three policy objectives of introducing VBs to Hong Kong have been delivered so far;
- review the level of market acceptance, business and financial performance, and user response of VBs since their inception;
- discuss the challenges facing VBs and the HKMA’s policy initiatives to support their development; and
