<p>The turmoil in Europe made many investors turn their attention to the East. Many are interested in Asian banks reliability, namely in the banks of Hong Kong. This is a country that offers favorable tax conditions for conducting international business, in which case a reliable financial partner is simply necessary.</p><p>The greatest number of issues is the Funds safety and what is the amount of the insured deposit.</p><p>It's not surprising that such inquiries arise, especially after the Cyprus turmoil, when investors received only 100 thousand euros of insurance deposit, but kept much more on their accounts. During the prosperity of the state, not many people think about such moments. The Cyprus crisis forced modern entrepreneurs to look at the global banking sector differently, including the eastern region.</p><p>The insured deposit amount in Hong Kong is estimated to be HKD 500,000 (USD 64,300). The amount is small, but if you look a bit into the past, then, for example, until January 1, 2011, the insurance amount was only HKD 100,000.</p><p>The modern Deposit Protection Scheme gives investors protection in case of bankruptcy. But, the stability of the state itself is also important. For example, in the Cyprus issue, a "fat cross" was placed much earlier in the future of the jurisdiction, because of the inflamed crisis in Europe (especially in Greece). Not many believed that Cyprus could collapse, but it happened.</p><p>If you look at Hong Kong in more detail, then you will see an entirely different situation. Behind the back of Hong Kong is mainland China, where the situation is quite stable. A country with a communist system is developing and flourishing.</p><p>The full guarantee scheme for deposits was submitted as early as October 2008, and extended to all authorized financial institutions (licensed banks, banks with limited licenses, and companies for accepting deposits). And it was this decision that was fundamental for the success of the Hong Kong banking system in the crisis.</p><p>Former financial secretary, John Tsang, said that guaranteed deposits had an effective effect on the public confidence in Hong Kong's banking system throughout the financial crisis, but simultaneously with the stabilization of the world economy, this program to provide a special guarantee should be completed".</p><p>Norman Chan, <span>chief executive officer of </span><span>the</span><span> Hong Kong Monetary Authority</span>, said: "Our banking system remains healthy and reliable, with a capitalization well above international standards. The population's confidence in the banking system also remains strong".</p><p><span>Hong Kong Deposit Protection</span><span> Board</span> has conducted extensive advertising campaigns since the second half of 2010 to raise public awareness of the changes in the extended scheme. Also, close cooperation with banks was conducted so that they made timely adjustments to their systems and business flows. In addition, the Council closely cooperates with the bank regulator of HKMA, so that authorized institutions correctly convey the meaning of the program upon the full guarantee deposit expiration and its potential impact on its customers. However, all efforts were in vain, and today the scheme continues to function successfully.</p><p>All licensed banks in Hong Kong are participating in this scheme. And the main achievements for the previous year are:</p><ul><li>In case of bank bankruptcy, depositors are not required to file an application to protect or receive compensation, their savings held by the participants in the scheme. They are automatically included under the scheme protection;</li><li>Deposits holders, no matter - Hong Kong dollar or foreign currency, are protected;</li><li>A self-assessment was completed against the Fundamental Principles for the provision of effective deposit insurance schemes in accordance with the deposit protection scheme in accordance with generally accepted international standards and best practices;</li><li>A comprehensive strategic review was conducted, large-scale rehearsals and a review of the deposit payment system to ensure adequate pay and readiness. The reform plan was also designed to further improve the efficiency of payments.</li><li>A high level of public awareness is maintained.</li></ul><p><em> </em></p><p style="text-align: center;"><em> For advice on opening an account with the banks of Hong Kong, please contact <strong>Castle Family Office</strong> specialists! Please feel free to write us at:</em></p><p style="text-align: center;"><em> </em><em><strong><em><span face="Calibri" size="3"><span lang="EN-US"><span face="Calibri" size="3"><a href="mailto:info@castle-familyoffice.sg">info@castle-familyoffice.sg</a></span></span></span></em></strong> </em></p>