Banking, Money and Taxes in Hong Kong

Given that Hong Kong is one of the world's most prominent financial centres, expats are unlikely to have trouble managing their finances in the wealth-driven Pearl of the Orient.

Managing your banking, money, and taxes in Hong Kong is easy thanks to the region's safe, secure, and straightforward financial systems. The region is also highly popular owing to its low taxes, making it easier for expats to save the dollars they work such long hours for.

Money in Hong Kong

The currency in Hong Kong is the Hong Kong Dollar, which is subdivided into 100 cents. It is abbreviated as HKD or HK$.

The Hong Kong dollar is available in the following denominations:

• Notes: 10 HKD, 20 HKD, 50 HKD, 100 HKD, 500 HKD, and 1,000 HKD
• Coins: 10 cents, 20 cents, 50 cents, 1 HKD, 2 HKD, 5 HKD, and 10 HKD

Banking in Hong Kong

Hong Kong is home to many major international banks as well as numerous local institutions. Whether it is better for an expat to bank with an international bank or a local bank depends largely on individual circumstances, since both options have their pros and cons.

Nearly all banks have internet banking facilities and offer credit cards. Although proficiency improves in areas with large expat populations, most bank branches have employees who can communicate in English.

Opening a bank account in Hong Kong

It's easy to open a bank account in Hong Kong. The minimum amount necessary to open an account varies depending on the service provider and type of account being opened.

If you already have an account with an international bank, such as Citibank or HSBC, the most convenient option may be to open a local version of your account once you arrive in Hong Kong. Among other things, transferring money becomes less of a hassle and more economical.

Local options are also worth exploring, though, especially if your home country bank isn't represented in Hong Kong.

To open an account, you should consult the institution of your choice to find out what documentation will be needed to facilitate the process. Generally, most banks will require proof of address and proof of identification, either in the form of a passport or Hong Kong ID. 

ATMs

There are plenty of ATMs throughout Hong Kong, most of which accept international cards. ATM fees at local banks tend to cost less than their international counterparts.

Credit cards

Credit cards are widely accepted throughout Hong Kong, although cash remains the more common means of payment for smaller purchases in local shops. 

Taxes in Hong Kong