The People's Bank of China and the Hong Kong Monetary Authority announced on the 20th that it will launch a cross-border payment port on June 22. The two sides held a launching ceremony in Beijing, and the HKMA also held a press conference in Hong Kong.
Under the new measures, when mainland residents send money to Hong Kong citizens, they only need to enter the payee's phone number, payment bank, payment currency and amount in the mobile banking to transfer the money. Mainland payers can also choose to enter their bank account number to transfer money, but they need to obtain the full English name of the Hong Kong payee.
When Hong Kong citizens pay for mainland residents, they only need to obtain the other party’s mobile phone number and select the collection bank to complete the transfer. However, mainland payees need to complete cross-border payment registration for mobile phone numbers in advance.
In his policy address in 2024, Hong Kong Chief Executive Li Jiachao proposed that inclusive finance will be developed and cross-border transactions and payments will be facilitated by citizens. The HKMA and the People's Bank of China are promoting the interconnection of fast payment systems in the two places (i.e., Hong Kong's fast-transfer (FPS) and the mainland's online payment interbank clearing system (IBPS)) to facilitate real-time small-scale cross-border payments for residents in the two places.
All sectors of society welcome this new service. Bank of China Hong Kong, which participated in the first phase of the measures, said that the cross-border payment port has achieved direct interconnection of fast payment networks in different currencies, forming a good complement to the existing RMB cross-border payment system, and once again led the trend of innovation in the global payment field.
Zeng Zhiwen, vice president of the Hong Kong Federation of Trade Unions and director-general of the Greater Bay Area Social Services Co., Ltd., said in an interview with China Communications News Agency that many citizens use store change services because the bank has short business hours. It is reported that many methods of remitting money when looking for a store change may involve money laundering crimes, which makes citizens "passively" involved in criminal activities, resulting in the freezing of funds. The new policy covers most of the time when remittance needs may be generated, and is believed to attract many citizens to use it.
Mr. Zhu, a citizen of Foshan, said that he often comes to Hong Kong to watch concerts and needs friends to purchase tickets, but it is difficult to return the money to the other party in a convenient and easy way. With this service, he will be able to "transfer money without pain."
Huang Junshuo, a member of the Legislative Council of the Accounting Industry Association of the Democratic League, said that the daily transfer amount of the new policy is believed to meet the current general living needs of Hong Kong people in the mainland, as well as the basic needs of mainland tourists traveling to Hong Kong, mainland students living in Hong Kong, and remittances between relatives and friends from the two places.
At the press conference in Hong Kong, the HKMA also proposed that when Hong Kong companies pay salaries for new mainland specialists, they can directly transfer their wages to employees' mainland accounts as needed, or parents transfer tuition fees to their children studying in the mainland.
Regarding the current limit of 10,000 Hong Kong dollars per person per day, Assistant President of the Financial Management Bureau Zhou Wen responded to a reporter's question at the press conference that if abnormal situations are found after the service is launched, adjustments will be made; in the strong adjustment of the design, there will be corresponding control and anti-money laundering measures.
