Are you in Hong Kong?

Published On : 02/15/2021

By James Turner, Director at Turner Little.

Here’s why you need an offshore bank account

Home to many financial institutions, Hong Kong has long been recognised as a prime location for financial services. But amid the anti-government protests in 2019, there has been concern regarding the growth of the city’s economy, slumping Hong Kong into a long recession. While optimists believe the turbulence will subside and banks will recover, others see key growth pillars including finance, trade and tourism weakening further. This has been intensified by the COVID-19 pandemic, forcing people indoors as well as the closure of shops and restaurants, sending retail sales in a downward spiral.

James Turner

Essentially, there is concern that the city is losing stability, business and consumer confidence. And with the prospect of more unrest, many top investors are either reducing their Hong Kong exposure or taking steps to ensure they can withdraw their assets in an instant. Another option for Hong Kong residents to secure their assets is by transferring funds out of the city and into an offshore bank account.

Offshore banking

Offshore banking involves opening an account in a foreign jurisdiction to the one in which you reside. They can be held in a variety of currencies and tend to feature everything you would get from a standard current account, including online and mobile banking. Furthermore, offshore banks offer debit cards to access your funds from any ATM in the world, and you can transact in multiple currencies, which is particularly beneficial for those wanting to avoid costly exchange rate charges.

The benefits

As well as better banking stability, an offshore bank account could provide Hong Kong residents with favourable tax advantages and higher interest earnings. Even if you do not wish to transfer your funds from your existing account, you could open one up alongside your existing bank account. This will diversify your assets and minimise your risk of tax reforms, depending on your chosen jurisdiction and bank.

Ultimately, the benefits of offshore banking will vary depending on individual circumstance. So be sure to do your research and seek professional advice to find the right jurisdiction for your bespoke needs.

Here to help

Whether you require a single personal Offshore Bank Account or Corporate Offshore banking for your business, Turner Little can help you arrange an offshore account regardless of where you call home. For trusted advice tailored to you and your, speak to a member of our experienced team today. 

Wanda Rich

Wanda Rich has been the Editor-in-Chief of Global Banking & Finance Review since 2011, playing a pivotal role in shaping the publication’s content and direction. Under her leadership, the magazine has expanded its global reach and established itself as a trusted source of information and analysis across various financial sectors. She is known for conducting exclusive interviews with industry leaders and oversees the Global Banking & Finance Awards, which recognize innovation and leadership in finance. In addition to Global Banking & Finance Review, Wanda also serves as editor for numerous other platforms, including Asset Digest, Biz Dispatch, Blockchain Tribune, Business Express, Brands Journal, Companies Digest, Economy Standard, Entrepreneur Tribune, Finance Digest, Fintech Herald, Global Islamic Finance Magazine, International Releases, Online World News, Luxury Adviser, Palmbay Herald, Startup Observer, Technology Dispatch, Trading Herald, and Wealth Tribune.