Banking License in Hong Kong

• Accepting deposits and other repayable funds

• Lending (retail/corporate/mortgage as authorised)

• Payment services and card issuing/acquiring (via scheme memberships)

• Foreign exchange and money‑market operations; treasury/ALM; derivatives (per limits)

• Custody/safekeeping and ancillary banking services

• Securities‑related activities (with SFC registration as a registered institution, where applicable)

• Local incorporation or approved branch of a foreign bank; effective management in Hong Kong

• Capital adequacy & liquidity under Basel III (CAR, LCR, NSFR); large exposure & concentration limits

• Sound governance: fit & proper board/management; independent control functions

• Risk management framework incl. ICAAP/ILAAP‑style; recovery & resolution planning (FIRO)

• Comprehensive policies: credit, market, liquidity, operational, outsourcing, remuneration, conduct

• AML/CFT framework under AMLO; sanctions screening; transaction monitoring; STRs to JFIU

• IT & cybersecurity per HKMA guidance (e.g., TM‑E‑1, OR‑2); incident reporting; BCP/DR & testing

• External auditor; internal audit; prudential & statistical reporting to HKMA

Core in‑country team (indicative):

• Board with independent member(s)

• CEO; CFO; COO; CRO (Risk)

• Head of Compliance & MLRO

• Head of Internal Audit (independent)

• Treasury/ALM lead; Credit/Risk leads

• IT/CISO; Operations & Payments leads

• Finance/Accounting; Legal/Company Secretary

• Core banking platform; digital onboarding & KYC

• Payments connectivity (FPS, CHATS), SWIFT; card issuing/acquiring rails

• Treasury/ALM, liquidity & interest‑rate risk systems

• AML suite (IDV, screening, monitoring, case management)

• Regulatory/financial reporting with audit‑ready trails

• Information security controls (IAM, logging, DR/BCP) and vendor/outsourcing management

• Fraud prevention & transaction monitoring; complaints management

• Domestic operations in Hong Kong; overseas branches/subsidiaries subject to host approvals.

• Access to HK payments infrastructure (FPS/CHATS) subject to eligibility and onboarding.

• Profits Tax: 16.5% (standard corporate rate).

• No VAT/GST; no capital gains tax regime.

• Payroll and other employment taxes per Hong Kong law.

• Settlement and operational accounts via HKICL/CHATS participants; FPS participation (direct/indirect).

• SWIFT/BIC and correspondent banking network for FX/nostro accounts.