On 6 August 2015, the Hong Kong Monetary Authority (HKMA) issued an updated version of Supervisory Policy Manual module CA-D-1: Guideline on the Application of the Banking (Disclosure) Rules (Guideline). The revised Guideline reflects the amendments to the Banking (Disclosure) Rules (Cap. 155M) made in light of the implementation of Basel III framework standards[1] in Hong Kong. The updated Banking (Disclosure) Rulescame into effect on 31 March 2015.

The Guideline is a non-statutory guideline and was issued following consultation with the Hong Kong Association of Banks and the Hong Kong DTC Association (the representative association of restricted licence banks and deposit-taking companies). It applies to all authorised institutions (AIs).

Notable changes from the Guideline’s 2007 predecessor include:

  • new disclosure requirements for AIs, including disclosure on the composition of capital, leverage ratios, countercyclical capital buffer ratios and liquidity information
  • new disclosure requirements for “Global Systemically Important AIs”
  • updated local prudential reporting and disclosure requirements in relation to AIs’ activities in Mainland China
  • disclosure requirements in relation to AIs’ international claims.

The HKMA press release and revised Guideline are available here.