Hong Kong corporate bank account
Healy Consultants assists our Clients with the opening of a corporate bank account in Hong Kong. It is possible for both locally-incorporate and foreign (i.e. non-Hong Kong) companies to open a corporate/offshore bank account in Hong Kong.
Hong Kong banking options
- Hong Kong is one of the leading countries in terms of banking and it is ranked 4th in the Global Financial Centres Index in 2016. The country has over 71 of the world’s biggest international banks and a FX volume of US$274.6 billion daily;
- The banks do not require foreign companies to possess a local entity in order to set up an account. However, it has become increasingly difficult to open an offshore banking account as banks tighten requirements;
- For both onshore and offshore companies, the Hong Kong Monetary Authority requires each signatory, shareholder and director to go through an hour face-to-face interview, which is a part of AML/CFT obligations;
- International banks we recommend include: i) HSBC, ii) DBS, iii) Citibank iv) BNP Paribas, v) Deutsche Bank and vi) United Overseas Bank. Out of these many international banks available, HSBC is the most highly-recommended because of the multi-currency account that the bank provides;
- Local banks in Hong Kong recommended by Healy Consultants include i) Bank of East Asia ii) Dah Sing Bank iii) Hang Seng Bank.
- Below is a sample of Hong Kong banking options:
Hong Kong bank account opening requirements
- Hong Kong companies that wish to open a corporate bank account will usually be required to submit: i) notarized residential proofs and identity documents of directors in English, ii) certified corporate documents and iii) notarized business address proofs in English;
- Hong Kong banks have tighten account opening procedures especially for foreign companies;
- Foreign companies are required to submit i) a business plan with details on the company’s product and services, ii) examples of contracts and invoices generated by and for the newly-incorporated company, iii) recent proof of address of the bank signatories (in English), vi) notarized passport and address proof copies of bank signatories and v) a bank reference letter for the bank signatories.
Legal considerations and FX control
- Hong Kong is under the AML/CFT regime, which requires banks to comply with the legal and supervisory requirements set to establish safe financial systems and regulations to avoid and identify money laundering and terrorist financing;
- Hong Kong is compliant to the Foreign Account Tax Compliance Act, FATCA. Banks and other financial organizations are obliged to report on information on financial accounts held directly or indirectly by US nationals;
- The Hong Kong government imposes no limitation on the inflow or outflow of funds for remittance of profits, debt services, capital, capital gains and returns on intellectual property or imported inputs;
- The currency used is Hong Kong Dollar, which is pegged to the US dollar. Hong Kong Money Authority has set the upper and lower guaranteed limit (US$1:HK7.75-7.85) since 18 May 2005.