HKMA Teams With Privacy Watchdog to Launch Joint Bank Fraud Examinations

Ted Hisokawa
Jan 27, 2026 04:02

Hong Kong regulators announce joint bank examinations targeting anti-fraud systems after HK$6.4 billion in losses from 35,831 deception cases in 2025.

Hong Kong’s central bank and privacy regulator are joining forces to crack down on banking fraud, announcing joint examinations of selected banks’ anti-fraud controls following a surge in financial crimes that cost victims HK$6.4 billion in the first ten months of 2025.

The Hong Kong Monetary Authority (HKMA) and the Office of the Privacy Commissioner for Personal Data (PCPD) revealed the collaboration on January 27, marking what officials called a “significant milestone” in protecting the banking system from fraudulent abuse.

What the Joint Examinations Will Target

Under the new arrangement, regulators will conduct risk-based examinations of banks with distinct but complementary focuses. The HKMA will assess whether institutions have properly implemented anti-fraud measures outlined in circulars from December 2024 and April 2025. Meanwhile, the PCPD will scrutinize data security measures and access controls designed to prevent customer information from being leaked or misused.

The numbers driving this action are stark: 35,831 deception cases were reported in Hong Kong during the first ten months of 2025 alone.

Broader Regulatory Push

This collaboration builds on measures the HKMA introduced in April 2025, which included expanded use of Scameter data for fraud detection, amendments to the Banking Ordinance enabling information sharing between banks, and thematic reviews of anti-fraud effectiveness.

“Anti-fraud work has been a priority for the HKMA as it helps to uphold public confidence in the financial system of Hong Kong,” said Eddie Yue, the authority’s Chief Executive.

Privacy Commissioner Ada Chung emphasized the volume of personal data flowing through banks daily. “It is imperative for the banking industry to adopt stringent data security and monitoring measures to prevent unauthorised or accidental access or misuse of customers’ personal data,” she said.

Public Education Component

Beyond examinations, the regulators plan joint publicity campaigns with the Hong Kong Police Force and banking industry groups. These will target specific demographic segments with warnings about evolving scam tactics—particularly around protecting bank account credentials and login information.

The PCPD has operated a dedicated fraud prevention hotline (3423 6611) since 2022 and recently distributed anti-fraud materials through district offices, community centers, elderly centers, and schools.

For Hong Kong’s banking sector, the message is clear: regulators are coordinating their oversight, and institutions should expect increased scrutiny of both their fraud prevention systems and data protection practices in the months ahead.

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