Data Backup for the Year 2000 Problem

The Hong Kong Monetary Authority ("HKMA") today (18 August) issued a guidance note to all Authorized Institutions to provide specific guidance on data backup for the Year 2000 problem. "The purpose of the guidance note is to describe the steps that Authorized Institutions should take to ensure that records of customer balances and other data are protected against any Year 2000-related problems that might emerge," said Mr David Carse, Deputy Chief Executive of the HKMA. "Given Hong Kong's high state of preparedness, which is internationally recognized, we do not expect any loss of customer data due to the Year 2000 problem. However, because of the importance of this issue, it is sensible to take extra precautions."

It is already the normal daily routine for Authorized Institutions to perform backup of their critical data, including customer data, and store this backup data at remote locations. Notwithstanding these efforts, the HKMA considers that given the importance of this issue for public confidence, Authorized Institutions should take extra care to ensure the integrity of customer data, e.g. by printing the data as hardcopy reports or copying the data onto a medium that is separate from their computer systems such as micro-fiche or CD-ROM. The fact that 31 December 1999 is now a general holiday will allow this to be done before 1 January 2000.

"Authorized Institutions in Hong Kong already have very prudent practices in place to protect customer records. In their normal backup operations, they maintain multiple copies of their customer records and transactions in different storage media separate from their main computer systems," said Mr. David Carse. He added that "the guidance note will further help ensure the integrity of customer data maintained by Authorized Institutions."

The guidance note is accessible through the HKMA website (http://www.info.gov.hk/hkma).

Hong Kong Monetary Authority

18 August 1999