Monday June 23 2025

News Source: Global Exchanges

Focus: Clearing & Settlement

Type: General

Country: International

Link: https://tinyurl.com/4v36wcct




On 20th June 2025, the Hong Kong Monetary Authority (HKMA) and the People’s Bank of China (PBoC) jointly pushed forward the cooperation between the China National Clearing Center (CNCC) and the Hong Kong Interbank Clearing Limited (HKICL) in linking the faster payment systems in the Mainland and Hong Kong (hereafter referred to as Payment Connect).  It is hereby announced that:

  1. Payment Connect refers to the linkage between the Mainland’s Internet Banking Payment System (IBPS) and Hong Kong’s Faster Payment System (FPS). It supports real-time cross-boundary payment services for residents in both places, in compliance with relevant laws and regulations of the two places.
  2. Payment Connect supports the participating institutions of the faster payment systems in both places to provide convenient remittance services in Renminbi and Hong Kong dollar for residents in both places under the current account.
  3. Payment Connect represents another key measure of the Central Government in supporting the development of Hong Kong. It brings convenience to people’s daily lives, deepens financial cooperation between the Mainland and Hong Kong, and enhances the efficiency and service quality of cross-boundary payments between the two places.
  4. Under the framework of the Memorandum of Understanding on Cross-Boundary Linkage of Payment Systems between the Mainland and Hong Kong, the PBoC and the HKMA will establish an effective collaboration mechanism for the Payment Connect to ensure the related services are operated in an orderly manner and comply with the respective legal and regulatory requirements in the two places.
  5. The CNCC and HKICL, having regard to the operation procedures and risk management principles, will coordinate with participating institutions to provide secure and efficient cross-boundary payment services to residents in both places, ensuring the smooth operation of the system and its transactions, while actively coordinating in resolving issues which may arise.
  6. Institutions participating in the Payment Connect shall strictly comply with the relevant laws and regulations on anti-money laundering, counter-terrorist financing, counter-proliferation financing and cross-boundary payment settlement.

Payment Connect was launched from 22nd June 2025.

Click on the above link for further information