SING TAOHong Kong Monetary Authority chief fintech officer Nelson Chow Man-ching yesterday said the time was ripe to develop virtual banking in the city, revealing that up to 32 firms had applied for virtual bank licenses. Airstar Bank chief executive Frederic Lau told delegates that the eight new virtual banks have shortcomings, as they are all start-ups with limited services compared with traditional banks and lacked data, adding that it would take a long time for these banks to collect more data for loan analysis. Meanwhile, WeLab founder Simon Loong said virtual banks may not be able to maintain their long-term advantages by heavily relying on short-term special offers. Loong expects WeLab to launch its virtual bank services this year. Tencent (0700) vice president Jim Lai Zhiming meanwhile believes virtual banks will serve as a platform for more payment and banking services in areas including insurance and securities.

Source: The Standard January 14, 2020 19:07 UTC