Digital Banks

Digital bank is defined as a bank which delivers banking services exclusively or primarily through the internet or other forms of electronic channels.​

The introduction of digital banks in Hong Kong is a key pillar supporting Hong Kong's entry into the Smart Banking Era. The HKMA believes that the development of digital banks will promote fintech and innovation in Hong Kong and offer a new kind of customer experience. In addition, digital banks can help promote financial inclusion as they normally target the retail segment, including the small and medium-sized enterprises (SMEs).

Authorization of Digital Banks

To facilitate the introduction of digital banks, the HKMA published a revised Guideline on Authorization of Virtual Banks on 30 May 2018, which was further revised on 25 October 2024 and renamed as Guideline on Authorization of Digital Banks (Guideline), setting out the principles which the HKMA will take into account in deciding whether to authorize digital banks.

As set out in the Guideline, in considering whether to approve or refuse an application for authorization, the HKMA needs to be satisfied that the minimum criteria for authorization in the Seventh Schedule to the Banking Ordinance (Ordinance) are met. Reference should therefore be made to the “Guideline on Minimum Criteria for Authorization” issued by the HKMA under section 16(10) of the Ordinance for details about the manner in which the HKMA will interpret these licensing criteria. 

In this connection, companies intending to apply for a digital banking licence are recommended to study carefully the information and the requirements as set in the HKMA's Guide to Authorization, particularly Chapter 2 - The Authorization Regime, Chapter 4 – Authorization, and Chapter 8 - Application Procedures.

List of digital banks

Please click here for information about the respective digital banks.

Ongoing Supervision

Digital banks are subject to the same set of supervisory requirements applicable to conventional banks. 

The supervisory approach and regulatory requirements applicable to all banks can be found in the Regulatory & Supervisory Framework, Supervisory Policy Manual, Guidelines, and Circulars.

That said, some of the supervisory requirements are adapted to suit the business models of digital banks under a risk-based and technology-neutral approach.

Last revision date : 02 January 2025