PANews reported on January 14 that according to the South China Morning Post, the Hong Kong Monetary Authority (HKMA) recently relaxed regulations to allow digital banks to set up limited physical branches to promote their development. WeLab Bank, ZA Bank and Mox Bank said they are considering opening physical branches, while Livi Bank has no plans for the time being.
HKMA issued eight virtual bank licenses in 2019, and these banks went online one after another in 2020. Last October, HKMA issued new regulations to allow digital banks to conduct limited business through non-electronic channels and renamed "virtual banks" to "licensed digital banks" in an effort to enhance public confidence in these institutions.
