Mad dash for offshore accounts amidst security law

HSBC and Standard Chartered have seen high surges in enquiries.

Banks such as HSBC, Standard Chartered and Citigroup have witnessed a spike in enquiries from Hong Kong residents about setting up offshore accounts amidst concerns regarding China’s national security law, reports Reuters.

HSBC and Standard Chartered have seen a 25-30% surge in enquiries, sources revealed. These add to the worries about capital flight from the city, which has been embattled by protests and renewed anxiety over asset liquidity caused by inflamed US-China tensions.

US President Donald Trump has said he will strip Hong Kong of its special status under US law if China proceeds with the law. The city’s de facto central bank has sought to allay concerns, saying it has all the means necessary to defend the Hong Kong dollar’s peg to the greenback.

The rise in enquiries has been strong enough to slow banks’ response times, the sources said, adding places including Singapore, Britain, Sydney and Taiwan, are popular destinations.

Here's more from Reuters.