On 13 July 2023, the Hong Kong Deposit Protection Board (the Board) launched a 3-month public consultation on enhancements to the Deposit Protection Scheme (DPS). Proposed enhancements to the DPS are highlighted below:
- Protection limit – raising the protection limit from the current HK$500,000 to HK$800,000.
- Levy system – switching back to the build-up levy to cater for a higher protection limit, with the build-up levy rates kept unchanged.
- Deposit protection arrangements in the event of a bank merger – providing enhanced coverage to affected depositors for six months upon a bank merger.
- Representation regime – requiring the display of the DPS membership sign on the digital channel of Scheme members, and streamlining negative disclosure requirements on non-protected deposits for private banking customers.
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Related documents (13 July 2023)
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Press
release
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Remarks by Ms Connie Lau, SBS, JP, the Chairman, at the press conference (Chinese version only)
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Presentation by Mr Daryl Ho, the Chief Executive Officer, at the press conference
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Consultation paper
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Frequently asked questions
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The Board welcomes views and comments on the policy recommendations set out in the consultation paper. The public consultation will end on 12 October 2023 (Thursday).