[Hong Kong] Circular to Licensed Corporations - Proposed updates to the Technical
Specifications for OTC Derivatives Trade Reporting
SFC Circulars, 8 Jun 2021
Over the past months, the SFC has been working closely
with the HKMA to review the Equity reporting templates and other reporting
requirements under OTC derivatives trade reporting. As a result of the review, the SFC would like
to inform reporting entities on the proposed updates to the Administration and
Interface Development Guide (AIDG), which includes mandating new/ modified data
fields, under the OTC derivatives reporting requirements.
Full text: click here
[Hong Kong] The HKMA Unveils “Fintech 2025” Strategy
HKMA News, 8 Jun 2021
The
HKMA unveiled “Fintech 2025”, its new strategy for driving fintech development
of Hong Kong. The five focus areas put forward by the strategy are (1) All banks
go fintech, (2) Future-proofing Hong Kong for Central Bank Digital Currencies
(CBDCs), (3) Creating the next-generation data infrastructure, (4) Expanding
the fintech-savvy workforce and (5) Nurturing the ecosystem with funding and
policies. The HKMA has been working with the Bank for International Settlements
(BIS) Innovation Hub Hong Kong Centre to research retail CBDCs and will begin a
study on e-HKD to understand its use cases, benefits, and related risks. A new
Fintech Cross-Agency Co-ordination Group will also be established by the HKMA
and various industry key players to formulate supportive policies for the Hong
Kong fintech ecosystem.
Full text: click here
[Hong Kong] The Exchange and FRC to Strengthen
Collaboration
HKMA News, 8 Jun 2021
The Stock Exchange of Hong Kong Limited and the
Financial Reporting Council (FRC) signed a new Memorandum of Understanding to
further strengthen collaboration between the two organisations, in ensuring the
upholding of quality financial reporting by listed entities and their auditors.
To ensure proper coordination of their regulatory efforts, the Exchange and the
FRC have also agreed to notify each other when preparing and issuing policies
or guidelines that may have a significant impact on their respective regulatory
functions.
Full text: click here
[Hong Kong] Accountants in dark over new regulatory
clamp
The Standard, 9 Jun 2021
Hong Kong proposes to make the Financial Reporting
Council responsible for issuing practising certificates for accountants and
registering accounting firms and auditors of listed companies, Secretary for
Financial Services and the Treasury Christopher Hui Ching-yu wrote in his blog.
Hui also proposed to let the FRC supervise around 46,000 accountants, expanding
the existing coverage from those who work for listed companies to all
practicing CPAs and accounting firms. He also suggested the FRC be renamed as the
Accounting and Financial Reporting Council in order to reflect its enlarged
role and function.
Full text: click here; Blog post: click here
[Singapore]
Climate-linked financial disclosures to be legally binding, align to one global
standard: MAS chief
Business
Times, 9 Jun 2021
Mandatory
climate-related financial disclosures for financial institutions and listed
entities in Singapore are in the works to align them to a single international
standard, said the head of the Monetary Authority of Singapore. Roadmaps for
these disclosures to be set out by MAS and the Singapore Exchange (SGX) will
take a phased approach, with a more ambitious timeline considered for entities
that are larger or more exposed to climate risks.
Full
text: click here;
Full speech: click here
[Singapore]
MAS to deploy US$1.8 billion to five asset managers for climate-related
investments
Business
Times, 9 Jun 2021
MAS
will deploy US$1.8 billion of the official foreign reserves (OFR) to five asset
managers for climate-related investments, said Ravi Menon, managing director,
MAS, at the launch of its first sustainability report. The names of these asset
managers will not be disclosed. The selected fund managers will establish their
Asia-Pacific sustainability hubs in Singapore, and launch new ESG thematic
funds for the region. To build a climate-resilient reserves portfolio, MAS will
also exclude from its reserves portfolio those companies most at risk from the
economy’s transition towards lower carbon intensity. As an example, companies
that derive a substantial part of their revenues from thermal coal mining and
have no credible transition plan, will be excluded. MAS is also expecting its
external managers to integrate ESG considerations into their investment process
over time to mitigate climate risks in their portfolio.
Full
text: click here
[Hong
Kong] IMF’s assessment commends Hong Kong’s sound macroeconomic and prudential
policies and resilience and stability of its financial system (Issued by the
Hong Kong SAR Government)
HKSAR
Press Release, 9 Jun 2021
The
Government welcomes the release of a report by the International Monetary Fund
(IMF) which reaffirms Hong Kong's position as an international financial centre
with a resilient financial system, sound macroeconomic and prudential policies,
and robust regulatory and supervisory frameworks. The IMF commends in the Financial
System Stability Assessment (FSSA) Report that Hong Kong's macroeconomic and
prudential policies have provided it with important buffers to cope with the
current economic slowdown and future shocks. Underpinned by large foreign
exchange reserves, Hong Kong's Linked Exchange Rate System (LERS) has continued
to support financial stability. Robust regulatory and supervisory policy
frameworks are in place to support the development of the financial sector, and
the institutional framework for systemic risk monitoring and oversight is well
established. Rigorous stress tests performed by the IMF confirm that Hong
Kong's financial system remains resilient in extreme stress scenarios.
Full
text: click here
Articles/Publications:
[Singapore]
Sustainability Report 2020/2021
MAS
Publications, 9 Jun 2021
This
inaugural report sets out our strategy on climate resilience and environmental
sustainability to strengthen the resilience of our financial sector to
environmental risks, develop a vibrant green finance ecosystem, build a
climate-resilient reserves portfolio and incorporate sustainable practices in MAS’
organisation.
Full
text: click here;
Infographic: click here
