CashNews.co
The Hong Kong Monetary Authority (HKMA), the Hong Kong Association of Banks (HKAB) and the Independent Commission Against Corruption (ICAC) launched a banking industry integrity charter on Wednesday, aiming to cement Hong Kong’s status as an international financial center with the highest standards of integrity.
“Banks participating in the charter commit to strengthening their internal anti-corruption and corruption-prevention capabilities, promoting a culture of integrity, and advocating public-private cooperation so that banks can enhance internal transparency and guide employees to behave honestly and responsibly,” HKMA Chief Executive Eddie Yue Wai-man said at the launch ceremony, which was attended by around 60 senior managers from 30 banks operating in Hong Kong.
“We believe that the charter will help maintain the stability and consolidation of the banking system, and enhance Hong Kong’s status as an international financial center,” he added.
ALSO READ: Yue: HK to boost offshore yuan financing with better liquidity, products
Yue reiterated that trust is the most important cornerstone for the banking industry. “Hong Kong residents deposit money into banks because they believe banks will properly manage their savings. Banks than can convert funds received from depositors into investments to support economic development.”
Yue said he believed that maintaining the stringent standard of integrity helps Hong Kong’s development as a wealth management center and a sustainable finance hub.
“This allows the banking industry to explore new markets such as the Middle East and Southeast Asia. As Hong Kong has continued to expand sustainable financial management business in recent years, increasing market transparency and integrity will help prevent greenwashing and is very important to the development of relevant industries,” Yue said.
Under the terms of the charter, participating banks are required to promote a sound bank culture, establish a code of conduct, assign an integrity officer to assist in implementing good governance, provide integrity training to staff, as well as report suspected corruption, fraud and other illicit activities to the ICAC or other law enforcement agencies promptly.
READ MORE: HKMA trying to use Exchange Fund to catalyze SAR green development
ICAC Commissioner Woo Ying-ming noted: “The charter reflects the great importance the banking industry places on integrity to reinforce Hong Kong’s status as an international financial center, and dovetails with the country’s Belt and Road Initiative in building a “Clean Silk Road” by preventing and combating corruption through enhanced public-private partnership.”
“The charter is an example of win-win collaboration that helps the local banking industry to cultivate a sense of anti-corruption and strengthen capabilities to combat corruption, thus maintaining a corruption-free business environment in Hong Kong,” HKAB chairperson Luanne Lim said.