Despite the disruption of Covid-19 around the world, Hong Kong has managed to maintain its competitiveness and economic activities, especially in financial services sector.
The resilience can be attributed to proactive and resourceful government support, vigor and resilience of the Hong Kong people, and world-class fund raising platform. Coupled with a massive financial services sector, these factors provide a strong foundation to support the fintech communities in Hong Kong.
The Global Fast Track Programme, part of the upcoming Hong Kong Fintech Week, seeks to expand on the city’s fast-growing fintech ecosystem and create more opportunities for business deals and partnerships in the post-pandemic era.
The Covid-19 pandemic has upended the way that people live and do business around the world, but it has come with a silver lining: it has accelerated the fintech revolution.
DIGITAL PAYMENTS ON THE RISE
According to JP Morgan, e-payments in Hong Kong are projected to grow at a compound annual rate of 32 percent by 2021 from an already sizeable base.
WEALTHTECH IS GROWING
In April 2020, fintech unicorn SoFi acquired Hong Kong-based mobile only investing services startup 8 Securities, while in June officials announced the plan to implement a cross-border wealth management pilot scheme that facilitates investment across the Guangdong-Hong Kong-Macao Greater Bay Area.
BLOCKCHAIN IS BOOMING
Around 39 percent of new start-ups are using distributed ledger technology within their operations.
As Edmond Lau, Senior Executive Director of the Hong Kong Monetary Authority (HKMA), noted in May 2020, “86 percent of banks have adopted or plan to adopt fintech solutions across all types of financial service[s].” They are already in good company. Currently, there are more than 600 fintech start-ups in the city alone, making it easy to see why Hong Kong is fast becoming Asia’s fintech hub. Despite disruptions to business plans and global economies, Hong Kong’s fintech landscape has gone from strength to strength.
Hong Kong Fintech Week is Asia’s global financial technology event, attracting over 12,000 fintech entrepreneurs, investors, regulators and visionaries from over 60 economies in 2019. This year, it will take place virtually from November 2-6 to welcome worldwide participants.