Hong Kong maintains a three-tier system of deposit-taking institutions, i.e. licensed banks, restricted licence banks and deposit-taking companies. They are collectively known as authorized institutions supervised by the Hong Kong Monetary Authority (HKMA).
Contents
- Licensed banks
- Deposit taking companies all incorporated in Hong Kong
- Local representative offices all incorporated outside Hong Kong
- Approved money brokers
- Defunct renamed or acquired banks
- References
As one of the top five financial centres worldwide, Hong Kong has one of the highest concentrations of banking institutions in the world, with 70 of the largest 100 banks in the world having an operation in Hong Kong. As at 16 January 2015, there were 159 licensed banks, 21 restricted licence banks and 23 deposit-taking companies in business, constituting a total of 203 authorized institutions with 1,372 local branches. In addition, there are 63 local representative offices of foreign banks in Hong Kong.
Licensed banks
Only licensed banks may operate current and savings accounts, accept deposits of any size and maturity from the public, and pay or collect cheques drawn, or paid in, by customers.
Deposit-taking companies (all incorporated in Hong Kong)
Deposit-taking companies are mostly owned by, or associated with, banks. These companies engage in specialized activities, such as consumer finance and securities business. They may take deposits of HK$100,000 or above with an original term of maturity of at least three months.
Local representative offices (all incorporated outside Hong Kong)
Overseas banks may establish local representative offices in Hong Kong, but they are not allowed to engage in any banking business and their role is confined mainly to liaison work between the bank and its customers in Hong Kong.