, the pboc is accountable to the state council and the branches of the pboc are accountable to the headquarters. as mentioned earlier, although hong kong has been subject to a severe ordeal during the financial turmoil, the pboc and other mainland government departments have not interfered in hong kong ’ s monetary affairs. furthermore, our autonomy in the management of hong kong ’ s foreign reserves is an important element in the mutual independence between the two monetary authorities. 13. while maintaining a mutually independent relationship, the two monetary authorities will continue to maintain and strengthen further the existing sound co - operation between the two places. both parties have held several regular and ad hoc discussions about monetary management, crossborder supervision of financial institutions and linkages between payment and settlement systems, and the achievements in these fields have been many. the mutual trust between the hkma and the pboc has contributed to exchanges and co - operation between the two places in relation to monetary affairs. ( c ) financial business between the mainland and hong kong are treated as international financial affairs and are conducted in accordance with the rules and practices of international financial activities. 14. all financial transactions between the two places after the handover have been conducted according to the rules and practices of international financial activities. claims and liabilities between banks and companies from the mainland and those in hong kong are regarded as external claims and liabilities. investment by hong kong companies in the mainland is regarded as foreign investment. when raising funds in hong kong, mainland entities are treated as other international and local market participants. mainland companies listed in hong kong are required to abide by security laws of hong kong and are regulated by the relevant regulatory authorities in hong kong. disputes relating to financial transactions are handled in accordance with international practice. where china ’ s arbitration law and other relevant laws and regulations are applicable according to the terms of a contract, the provisions relating to arbitration involving foreign parties are applied. ( d ) the hksar maintains its existing system of currency issuance and management. the hong kong dollar and the renminbi continue to circulate as legal tender in hong kong and the mainland respectively. the hong kong dollar is treated as a foreign currency in the mainland. likewise, the renminbi is treated as a foreign currency in hong kong. 15. the basic law has provided for the legal status of the hong kong dollar. the renminbi is still not yet freely convertible. however, even if it becomes freely convertible, it will only be one of

eddie yue : keynote address - hong kong fintech week 2024 keynote address by mr eddie yue, chief executive of the hong kong monetary authority, at the hong kong fintech week 2024, hong kong, 28 october 2024. * * * good morning everyone. welcome to the 9th hong kong fintech week, an annual event where vision, inspiration and innovation come together to shape the future of fintech. it's wonderful to welcome so many old and new friends today to discuss this exciting topic. this year's theme is " illuminating new pathways in fintech ". it captures where we are right now - at a critical juncture on our fintech journey. we are seeing an unprecedented acceleration in financial development, fuelled by cutting - edge technologies. having arrived at this point after marking a number of significant milestones along the way, it's perhaps time to take stock and ask ourselves " what's on the horizon for fintech? " what we have learned from innovation and fintech before i delve into that question, let's revisit our overarching vision, which is to nurture a vibrant fintech ecosystem. like instruments in an orchestra, so do individual players in the fintech ecosystem, whether they are agile start - ups or established institutions, each have their own parts to play. but let's be honest, a vibrant fintech ecosystem cannot be built overnight. technology is continuously disrupting everything, including our financial markets. for many of us, embracing change isn't always easy, and sometimes the process of driving innovation may even feel uncomfortable and disorienting. but change is often also a good opportunity to reflect on how we can innovate to better serve the greater good. our fintech 2025 strategy is a powerful testament to our commitment to innovation. over the last few years, we have driven some positive transformations in our fintech ecosystem, and i would like to take the next few minutes to share three lessons we have learned along the way. first, innovation is not an end in itself, but a means to solve real - world problems. whether it's faster payments or better banking access for smes, technology is a means to help transform everyday experience and bring benefits to the real economy. one area we've been focusing on is enhancing cross - border payments. the link between our faster payment system ( fps ) and thailand's promptpay is one example, providing consumers with a seam