Published in Hong Kong News on 17.06.2016
Hong Kong News: Why is it so difficult for small businesses to open an account at some banks in Hong Kong?
Arthur Yuen (is deputy chief executive of the Hong Kong Monetary Authority) in an insight opinion for the SCMP says that banks’ due diligence checks on customers need to be stringent but not prohibitive, so that SMEs – particularly start-ups and foreign companies – can access the services they need.
When I attend functions and meetings these days, as a banking regulator I tend to get an earful of comments from business contacts about their experiences, very often difficult ones, in opening bank accounts in Hong Kong. The frustrations appear to be more pronounced among start-ups and foreign companies, worse if you happen to tick both boxes.
I am naturally very concerned, given that bank accounts are essential for operating businesses and financial inclusion. I am surprised that this should happen in Hong Kong, which has a well-developed and highly efficient banking system.
Full article at SCMP.com