HKMA Plans Digital Inter-bank Payment System

The Hong Kong Monetary Authority said it will roll out a new payment system in September, which will allow people to transfer money electronically between different banks in a matter of seconds.

Speaking to reporters, the deputy chief executive of the authority, Howard Lee, said around 20 banks and eight e-payment platforms have signed up for the system. He said the system is now undergoing final tests.

People using the system can link their telephone numbers or email to it and then even use those details to receive money, without having to disclose their account number.

The authority also said it's planning to relax its current lending regulations to allow people to apply for loans online without having to submit their income and address proofs.

Raymond Chan, the HKMA's executive director, said the authority has been discussing the plan with banks and tech companies. But he said it is too early to say when the plan will be introduced.

He also played down concerns that by waiving some of the documents traditionally required for getting a loan would be risky for banks – saying that there'll be measures to make sure those risks can be managed.

The authority had set up a dedicated group in October last year to look into ways to improve the current banking services.