Hong Kong corporate bank account
Healy Consultants Group PLC assists our Clients with opening a corporate bank account in Hong Kong. It is possible for both locally-incorporated 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 its banking industry and it has been ranked 3rd in the Global Financial Centres Index in 2018. The country has over 71 of the world’s biggest international banks and a FX volume of US$274.6 billion per day;
- 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 company bank account as banks have tightened their requirements;
- For both onshore and offshore companies, the Hong Kong Monetary Authority requires each signatory, shareholder and director to go through a face-to-face interview for around an hour, which is a part of its AML/CFT obligations;
- The International banks recommended by us include: i) HSBC, ii) DBS, iii) Citibank, iv) BNP Paribas, v) Deutsche Bank and vi) United Overseas Bank. Out of the many available international banks in Hong Kong, HSBC provides the best business bank account in the jurisdiction;
- Local banks in Hong Kong that are recommended by Healy Consultants Group PLC include: i) Bank of East Asia, ii) Dah Sing Bank and iii) Hang Seng Bank;
- Below is a sample of 6 main banking options in Hong Kong:
Hong Kong bank account opening requirements
- Hong Kong companies that wish to open a corporate bank account will usually be required to have the following corporation bank account opening documents: 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 tightened their account opening procedures, especially for foreign companies. The same applies for merchant account that do not have local Hong Kong customers;
- Foreign companies are required to submit i) a business plan with details of its 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), iv) notarized copies of passport and address proof of all the 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 its banks to comply with by 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 authorities also allow for exemption from stamp duty on shares in exchange traded funds through a brokerage account;
- The currency used by Hong Kong banks is the 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.