The Hong Kong Monetary Authority has proposed major changes in the city’s three-tier banking system for the first time in four decades in a move that would eliminate the smallest category of lender altogether.
Sixteen banks and payment companies have rolled out a dozen pilots of the e-HKD among small groups of customers using, as part of HKMA’s plan to introduce a central bank digital currency to the public for making payments related to shopping and dining. Here is why you should care.
Some 16 companies – including the three note-issuing banks HSBC, Standard Chartered and BOCHK – will put the e-HKD through its paces, paving the way for a virtual coin the public can use to shop, dine out and make money transfers.
The war chest used to defend the local currency continued its comeback in the first quarter, posting a return of HK$97.9 billion (US$12.5 billion) on the back of rising stock markets after the city and mainland China reopened their borders.