BOC Hong Kong (Holdings) Limited - Enterprise Tech Ecosystem Series

BOC Hong Kong (Holdings) Limited (BOCHK), a subsidiary of Bank of China Limited, offers a range of banking, insurance, and other financial solutions. Its product offerings include credit cards, debit cards, time deposit accounts, business accounts, savings accounts, foreign currency savings accounts, mortgage, business loans, and personal loans. BOCHK offers insurance coverage for travel and leisure, life, family protection, liability, group, and retailer’s comprehensive insurance. The bank's service portfolio comprises privilege banking, foreign exchange, commercial financing, private banking, cash management, project financing, treasury management, wealth management, corporate payment and collection solutions, and investment management. It distributes its products and services through branches, self-services machines, and digital and non-digital platforms.

In 2016, BOCHK and the Hong Kong Applied Science and Technology Research Institute to create the BOCHK-ASTRI FinTech Collaboration Centre. The center aims to develop financial technologies. It focuses focus on emerging technologies including blockchain, electronic payments, cybersecurity, big data analytics, and behavioral recognition.

Launched in December 2020, BOCHK Challenge 2020-21 is an fintech innovation case competition that aims to foster innovation and creativity amongst the younger generation. The competition facilitates a platform for collaboration and knowledge sharing, enabling participants to generate innovative ideas for the fintech industry.

Launched in 2018, BOCHK FinTech Hackathon is aimed at supporting younger generation by providing them with the opportunity to exchange innovative ideas. Through collaboration and cooperation, the program promotes innovation and technological development in Hong Kong's banking industry.

This report provides insight into BOC Hong Kong's fintech activities, including its digital transformation strategies, its innovation programs, its technology initiatives, its estimated ICT budget, and its major ICT contracts.

Scope

• BOCHK is deepening its application of innovative fintech technologies and accelerating digitalization of its business processes to improve operational efficiencies. Its digital transformation is driven by established Digital Transformation Blueprint and 3-Year IT Plan (2019-2021), which focuses on five key digital capabilities of innovation, agility, data application, mobility, and regionalization.
• BOCHK introduced identity verification technology and optimized facial recognition technologies in its banking services. The group also introduced an electronic account opening service for SMEs, enhancing efficiency and customer experience. It also implemented finger vein authentication services, to reduce manual verification and minimize transaction processing times.
• BOCHK introduced cloud-based agile development model for rapid, reliable, scalable, and continuous delivery of new application services. This will support all its business lines to quickly respond to market changes and customer service requirements and helps in developing an open banking system supporting its digital transformation strategy.
• BOCHK is leveraging the power of blockchain technology across its property valuation process and cross-border trade finance transactions. In 2020, 97% of its total property valuations are processed by using blockchain technology.

Reasons to Buy

• Gain insights into BOC Hong Kong's tech operations.
• Gain insights into its fintech strategies and innovation initiatives.
• Gain insights into its technology themes under focus.
• Gain insights into various product launches and partnership strategies.