The Future of Fintech in Hong Kong: the Bottom Line
Asia-Pacific Fintech Insights: In may 2017 the FSDC released a Report named The Future of Fintech in Hong Kong as a means to help promoting the development of Hong Kong Fintech industry. The report has been commented widely, but it was mainly interpreted as pointing to the limits of Hong Kong’s Fintech policy. In reality, however, this document is more like a business plan and roadmap on, as its title suggests, the future of Fintechs in Hong Kong. Hence, it deserves more attention.
The Future of Fintech in Hong Kong: the FSDC’s fintech hub business plan.
In May 2017, the Hong Kong Financial Services Development Council (FSDC) released a report on The Future of Fintech in Hong Kong. The report was largely commented upon and interpreted as emphasizing Hong Kong’s difficulties in coping with the main Fintech-sensitive cities around the world, but in reality it did much more than this: it provided the Hong Kong regulators with a powerful, ambitious and strategic business plan.
The Future of Fintech in Hong Kong
Quarterly Research Report 2017-#3
Over the summer, in May 2017, the Hong Kong Financial Services Development Council (FSDC) released a long and precise report titled ‘The Future of Fintech in Hong Kong’.
This report has mainly been criticized for emphasizing the weaknesses of Hong Kong in relation to the Fintech industry. It is interesting to note that when discussing Fintech and the document, the most common idea consists in repeating or quoting the report’s conclusion that ‘From a long-term developmental standpoint, Hong Kong is very strong in ‘Fin’, but not strong in ‘Tech’.
More to say.
In reality, however, the document would rather deserve to be described as a roadmap for the development of Hong Kong’s profile as a leading hub for Fintechs, Regtechs, Wealthtechs, Cybersecurity and Artificial intelligence (AI).
In our opinion, ‘The Future of Fintech in Hong Kong’ should not be read as a standalone document because it is much more than a standalone report. ‘The Future of Fintech in Hong Kong’ is the last of a series of policy outputs drafted over the past two years by various Hong Kong public authorities, all sharing the idea that Fintechs matter.
Hong Kong’s Fintech Dynamic
The Steering Group on Financial Technologies was created in 2015 and released a first analysis of the industry in January 2016. It made a series of suggestions which, eventually, were implemented as part of the Budget Speech 2016/2017 which took place soon after.
This Speech began the implementation of Hong Kong’s Fintech policy.It was then followed by the Budget Speech 2017/2018 which provided monitoring on the efforts. In September 2016, meanwhile, Norman T.L. Chan, Chief Executive of the Hong Kong Monetary Authority made a speech named ‘What does it take to build a “Hong Kong Brand” for financial services?’.
The FSDC report of May 2017, that is, does not merely point at the weaknesses of Hong Kong in relation to Fintech. First, it furthers policy monitoring. Second, and even more importantly, it provides the regulators with a major strategic roadmap. Not to say, in fact, a business plan.
This analysis paper comments on the successive reports. We aim at clarifying the current state of Hong Kong’s Fintech policymaking.
THE ASIA-PACIFIC CIRCLE – QUARTERLY REPORT 2017 #3 IS AVAILABLE BELOW
Analysis made with the support of our thought leadership-committed partner, Dragonfly Group:
Dragonfly Group is an expert in Talent Acquisition and Human Resource Development in Asia. We assist our global clients locally with their strategic HR projects, including executive search, leadership-development coaching, cross-cultural talent acquisition, management audit, assessment and talent engagement initiatives. With offices in China 1st tier cities and Paris (France), representatives in 2nd tier cities and partners in other major cities of the Asian region, Dragonfly Group is a founding partner of Praxi Alliance, present in more than 35 countries all over the world.
THE ASIA-PACIFIC CIRCLE QUARTERLY REPORT 2017 #3
FSDC Report – ‘The Future of Fintech in Hong Kong’
A business plan for making Hong Kong a financial services hub!
Quarterly Research Report 2017#3 by The Asia-Pacific Circle (Sept, 2017)
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