The Hong Kong Association of Banks, in collaboration with Deloitte China, released its Hong Kong Banking 2030 report today, proposing an extension of the Stock Connect framework to include an “IPO Connect” mechanism that would permit mainland Chinese investors to participate in Hong Kong initial public offerings. The report further recommends expediting the integration of RMB-denominated trading counters into the broader Connect schemes, enabling mainland investors to purchase Hong Kong-listed equities using the Chinese currency.
The comprehensive report outlines 37 specific recommendations organized under four strategic pillars. Under the “Connecting Globally” framework, key proposals include cementing Hong Kong’s role as the world’s premier offshore RMB hub, fostering faster payment systems, broadening the suite of RMB investment products, and enhancing settlement infrastructure. Additional measures aim to expand RMB utilization along the Belt and Road and in emerging markets, strengthen Hong Kong’s position as a cross-border wealth management platform, and develop a global commodity trading centre through strategic ecosystem building.
The “Enhancing Connectivity” pillar focuses on deepening financial linkages between Hong Kong and the mainland. Beyond the proposed IPO Connect and RMB counter integration, the report suggests clarifying the permissible scope of sales and marketing activities under the Cross-boundary Wealth Management Connect scheme, coordinating client coverage between booking centres, and unifying investment portfolio visibility. It also advocates for mutual recognition of professional qualifications within the Greater Bay Area.
Under “Innovation Empowerment,” the report recommends accelerating the development of industry-specific AI application guidelines and investing in quantum financial infrastructure as artificial intelligence and emerging technologies reshape banking operations. The “Diversity and Inclusion” pillar calls for embedding accessibility and human-centric design throughout the complete customer journey to advance financial inclusion, encouraging banks to build inclusive digital platforms serving diverse user groups including the elderly, strengthening digital and financial confidence through public education and robust fraud protection measures, and establishing responsible product channels for emerging investment categories.
The report notes that the national 15th Five-Year Plan explicitly supports Hong Kong in consolidating and enhancing its status as an international financial centre, strengthening its global offshore RMB business hub, and reinforcing its functions as an international asset and wealth management centre. The SAR government is also advancing initiatives to develop stock and bond markets, broaden wealth management channels, and accelerate sustainable finance development. Collectively, these measures reinforce Hong Kong’s core strengths, including free capital flow, market depth and liquidity, the common law system, and the world’s largest offshore RMB clearing infrastructure, creating favourable regulatory and market conditions for new growth in digital finance and family offices.
Mr. Chen Wen, Acting Chairman of the Hong Kong Association of Banks and Vice President of Bank of China (Hong Kong), stated that the report presents four strategic pillars to drive future industry growth. Connecting Globally reinforces Hong Kong’s role as a bridge between the mainland and global markets, supporting corporate expansion overseas, promoting RMB internationalization, and advancing wealth management development. Enhancing Connectivity facilitates the efficient flow of capital, talent, and information through deeper mainland-Hong Kong integration. Innovation Empowerment leverages AI and digital asset infrastructure to drive financial innovation. Diversity and Inclusion expands financial service coverage to strengthen support for the real economy.
The survey findings reveal that 99% of respondent banks hold a positive outlook on Hong Kong’s banking sector future. Respondents across all institutional types believe Hong Kong’s position is robust and enduring, primarily attributable to its deep connections with mainland China, resilient infrastructure, and market depth that other financial centres cannot easily replicate, with expectations that these advantages will progressively strengthen.
Regarding investment priorities, 53% of surveyed institutions ranked generative AI and process automation as their top technology investment area, indicating the industry has clearly transitioned from experimentation to full-scale implementation. Additionally, 52% of bank executives identified driving digital transformation and AI adoption as their primary challenge over the coming years.
Mr. Chen emphasized that banks must balance regulatory compliance, cybersecurity, and data security when advancing technological innovation. He noted that the banking industry is actively exploring agentic AI applications in customer experience and payment scenarios. Chen stressed that AI is not merely a productivity enhancement tool but has the potential to drive product innovation, optimize service models, and elevate risk management standards. The industry will continue promoting workforce reskilling to ensure AI applications are safe, reliable, and explainable.
As mainland enterprises expand into overseas markets, Hong Kong banks are expanding in tandem, following clients abroad and driving demand for trade finance, syndicated loans, treasury services, and hedging products along trade corridors, with respondents expecting this demand to intensify. Concurrently, banks are actively developing cross-border RMB services, reflecting the industry’s broadening growth models.
Mr. Chen stated that with the deepening of the Belt and Road Initiative, economic and trade cooperation and two-way investment between China and regions such as Central Asia and the Middle East have become increasingly active, driving significantly higher demand for cross-border investment and financing, treasury management, and risk hedging. As the world’s largest offshore RMB business hub with a mature international financial system, Hong Kong can provide Central Asian enterprises with diversified financing services and RMB financial products, helping them optimize financing structures and reduce exchange rate risk.
Furthermore, Central Asia and the Middle East have been actively pursuing economic transformation in recent years, with financing needs in infrastructure, green energy, and digital economy sectors growing steadily, aligning closely with Hong Kong’s strengths in green finance and cross-border capital allocation. Additionally, Central Asia possesses abundant mineral, natural gas, petroleum, and gold resources. In conjunction with Hong Kong’s strategy to develop commodity and international gold trading centres, the banking sector can provide early-stage financing and supply chain finance support. Chen emphasized that the industry will build efficient, stable, and trustworthy financial corridors through a “hub-to-hub” connectivity model.
Regarding offshore RMB market development, Chen outlined three key directions for deepening RMB internationalization: enhancing the Connect mechanisms, enriching the offshore RMB product ecosystem, and upgrading financial infrastructure capabilities.
Mr. Wallace Woo, Hong Kong Financial Services Industry Managing Partner at Deloitte China, noted that as Hong Kong’s role in global finance continues to deepen, cross-sector collaboration between institutions and policymakers is essential for scaling innovation, strengthening resilience, and building customer trust. The report demonstrates that financial inclusion has become integrated into the digital-era growth blueprint. Banks are embedding accessibility design across products, channels, and risk management, covering the complete customer journey from account opening and everyday payments to complaint handling and fraud protection.
However, 52% of respondents identified “leading digital transformation” as their greatest leadership challenge, reflecting the difficulty of building organizations capable of realizing such visions. Compared with other themes in the survey, respondents generally viewed internal capabilities, including talent, corporate culture, and operating models, as core constraints.
Ms. Chan Wo Mei, Deloitte China’s Hong Kong Banking 2030 Project Lead Partner, observed that the research demonstrates Hong Kong’s banking sector is highly confident in its growth prospects. Banks of varying sizes, ownership structures, and market positions hold consistent views on where opportunities lie and what is required to capture them. Chan believes that in the long term, translating these ambitious visions into reality will depend on organizational capabilities. While defining clear development strategies is essential, ensuring the organization possesses the readiness to execute is equally important.
Regarding the SAR government’s forthcoming Policy Address and first “five-year plan” scheduled for September 16, Mr. Chen stated that the industry will maintain close communication with the government and regulatory authorities.