The HKMA participates actively in multilateral institutions and international forums to keep Hong Kong in the forefront of financial and monetary developments.
Hong Kong became a member of the AIIB in 2017. AIIB is a multilateral development bank set up to foster sustainable economic development, create wealth and improve infrastructure connectivity in Asia by investing in infrastructure and other productive sectors. The HKMA supports Hong Kong’s participation in AIIB and its activities.
Hong Kong is a member of APEC, and the HKMA participates in and supports the APEC Finance Ministers’ Process. In 2015, the APEC Finance Ministers launched the Cebu Action Plan (CAP), with the goal of building an APEC community that is more financially integrated, transparent, resilient, and connected. The CAP consists of four action pillars: (i) promoting financial integration; (ii) advancing fiscal reforms and transparency; (iii) enhancing financial resiliency; and (iv) accelerating infrastructure development and financing. The HKMA has and will continue to contribute to Hong Kong’s implementation of the CAP.
The HKMA is one of the participating parties of the Chiang Mai Initiative Multilaterialisation (CMIM) Agreement. The CMIM is a regional multilateral arrangement established in March 2010 under the aegis of ASEAN+3. The aim of the CMIM is to provide short-term USD support via currency swaps to participants facing liquidity shortages and/or balance of payments difficulties. The HKMA works closely with both ASEAN and Plus 3 (i.e. China, Japan and Korea) central banks and finance ministries in driving a range of CMIM-related issues to enhance the design and operational readiness of CMIM, and improve the governance and capabilities of the ASEAN+3 Macroeconomic Research Office (AMRO), the macroeconomic surveillance unit under the CMIM.
The HKMA became a member of the BIS in 1996. The HKMA participates in the BIS bimonthly meetings, as well as in BIS committees including the Basel Committee on Banking Supervision, the Committee on the Global Financial System, the Committee on Payments and Market Infrastructures, and the Markets Committee.
The BIS opened its Representative Office for Asia and the Pacific in Hong Kong in 1998, underlying the strategic location of Hong Kong in the region and the attractions that Hong Kong can offer as an international financial centre. The Representative Office is the first overseas office of the BIS and it serves as a regional centre for the activities of the BIS in Asia.
In June 2009, the HKMA joined the BCBS, the leading international forum for co-operation on banking supervisory matters. The HKMA has contributed to initiatives such as enhancing Basel II and finalising the Basel III framework. The HKMA is a member of the BCBS and its governing body, the Group of Governors and Heads of Supervision (GHOS) and is represented on various BCBS working groups, including the Policy Development Group (PDG) and the Supervision and Implementation Group (SIG).
The HKMA actively participates in EMEAP. The deputy governors of EMEAP meet twice annually, while the first meeting of Governors was held in Tokyo in July 1996 and has been held once a year subsequently. The HKMA hosted the 4th EMEAP Governors' Meeting in July 1999 and the 14th EMEAP Governors' Meeting in July 2009.
The Monetary and Financial Stability Committee (MFSC) was established in 2007 to enhance the macro-monitoring and crisis management mechanisms of EMEAP. Three working groups have been established by EMEAP to strengthen co-operation among regional central banks and monetary authorities in specific areas such as payments and market infrastructures, financial market development and banking supervision. In addition, the IT Directors’ Meeting (ITDM) enables member banks/authorities to exchange information and ideas regarding IT management and development issues such as FinTech and cybersecurity. The HKMA participates in the MFSC, the three working groups and the ITDM as members.
Hong Kong is a member of the FSB, formerly the Financial Stability Forum (FSF). The FSF, which was established by the G7, first convened in April 1999 with a view to reducing vulnerability and safeguarding the smooth functioning of financial markets through enhanced information exchange and co-operation in financial supervision and surveillance. Hong Kong's inclusion in the FSF, together with four other non-G7 economies (Australia, the Netherlands, Singapore and Switzerland) is a recognition of its status as a systemically important financial centre.
In April 2009, the FSF was re-established as the FSB with an expanded membership and broadened mandate. The structure of the FSB consists of a Chairperson, a Plenary, a Steering Committee, and a Secretariat. Under this structure, three Standing Committees on: (a) Assessment of Vulnerabilities; (b) Supervisory and Regulatory Cooperation; and (c) Standards Implementation; were established to carry out the work of the FSB. Hong Kong is a member of the Plenary meeting and participates in all three Standing Committees. The HKMA regularly attends meetings of the FSB to exchange views on potential vulnerabilities in the international financial system.
As in the case of the ADB, the HKMA co-ordinates matters relating to Hong Kong's contact with the two organisations. These include attending their joint Annual Meetings, co-ordinating the IMF's Article IV Consultation on Hong Kong and participating in the exchange of information.
In January 1997, the HKMA joined the New Arrangements to Borrow (NAB), which is a standby credit facility provided to the IMF to forestall or cope with an impairment of the international monetary system or to deal with an exceptional threat to the stability of the system. The HKMA's participation in the NAB underscores the status of Hong Kong as an international financial centre and provides Hong Kong with an additional channel of information on likely sources of financial instability.
The HKMA is committed to improving transparency and public access to Hong Kong's economic data by meeting standards expected of a leading international financial centre. Accordingly, Hong Kong subscribed to the IMF Special Data Dissemination Standard (SDDS) in October 1996. Hong Kong has complied with the enhanced SDDS on international reserves and foreign currency liquidity since May 2000.
Hong Kong has participated in the IMF pilot project for the voluntary release of Article IV Staff Report and Selected Issues Paper. The first Article IV reports on Hong Kong was published in March 2000 and Hong Kong has continued to participate in the voluntary publication of the Article IV reports since then (for details of the latest Staff Report and Selected Issues Paper, please see relevant pages on the websites of the IMF and Financial Services and the Treasury Bureau of the Government of the Hong Kong Special Administrative Region).
In September 2000, the Sub-Office of the IMF's Resident Representative Office in China commenced operation in Hong Kong. The Sub-Office is responsible for gathering information on financial and monetary developments in Asia and analysing their impact on Hong Kong. In the same month, the International Finance Corporation, the private sector arm of the World Bank Group, established an office in Hong Kong as its regional headquarters for East Asia and the Pacific.
The G20 Finance Ministers and Central Bank Governors was established in 1999 to bring together systemically important developed and developing economies to discuss key issues in the global economy.
The G20 plays an active role in global efforts to promote international financial market reform. The first G20 Summit on Financial Markets and the World Economy was held in November 2008, and an action plan for reforming and strengthening the international financial system was set out in the Summit Declaration. Further recommendations to strengthen the financial system were made at the London Summit in April 2009. In view of the rapid technological advances, the G20 has also been looking into the risks and challenges, as well as opportunities, arising from technological transformation and innovation, including fintech. Hong Kong participates in various G20 meetings as a member of the People's Republic of China's delegation and monitors closely the latest developments in implementing G20 recommendations both at home and abroad.
HKMA is a member of SEACEN (South East Asian Central Banks) and SEANZA (South East Asia, New Zealand and Australia), and HKMA representatives also attend other central banking forums, including the SEANZA Forum of Banking Supervisors.
The HKMA organises training seminars and conferences for central bankers in the region. These activities facilitate the exchange of experience and technical co-operation with other central bankers and international experts in the monetary and banking areas. HKMA staff have also presented papers at international conferences.