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KPMG: Slower than expected interest rate cuts to support bank margins in 2025
Banks should prioritise cost optimisation, data governance, and digital transformation to build a foundation for long-term growth
HONG KONG SAR – Media OutReach Newswire – 24 January 2025 – Hong Kong’s banking sector showed signs of recovery in 2024 after a prolonged period of challenges. This positive trend is expected to continue in 2025, with the pace of US rate cuts expected to be slower than many forecasts.
KPMG’s latest report, the Hong Kong Banking Outlook 2025, predicts substantial opportunities for banks that are willing to adapt and innovate, with technologies like Generative AI and virtual assets set to transform operating models. The report provides insights and predictions from KPMG experts regarding the outlook for Hong Kong and highlights key themes for banks to focus on this year, including embracing emerging technologies, staying abreast of ESG trends and keeping pace with regulatory developments.
Paul McSheaffrey, Senior Banking Partner, Hong Kong, KPMG China, says: “2024 marked an improvement for Hong Kong’s banking sector, with signs of recovery emerging after a prolonged period of challenges. Driven by policy shifts in the Chinese Mainland, these developments have laid the groundwork for cautious optimism entering 2025. Some green shoots of recovery have been seen, including an uptick in funds raised on the Hong Kong Stock Exchange and positive policy measures in the Chinese Mainland aimed at stimulating consumer demand. Thus, we are more optimistic about the prospects of the Hong Kong banking sector during the year.”
For retail and commercial banks, KPMG believes that the pace of interest rate reductions will be slower than many forecasts suggest, which will help banks preserve their margins. For investment banks, the positive policy measures in China are expected to enhance consumer sentiment, thereby fostering capital raising and M&A activity in China, ultimately benefiting Hong Kong.
Jianing Song, Head of Banking and Capital Markets, Hong Kong, KPMG China, says: “As we enter 2025, the environment faced by banks is becoming increasingly complex. However, we believe that this year will bring substantial opportunities for banks willing to adapt and innovate. Emerging technologies, such as Generative AI and virtual assets, have the potential to transform operating models. Through cost optimization, data governance, and digital transformation, banks can navigate their current challenges and build a foundation for long-term growth.”
Resilience remains a key regulatory focus
Resilience against cyber fraud and financial crime will remain a top priority in 2025 as losses experienced by banks and customers continue to make headlines. Meeting regulatory expectations will be crucial, with a strong focus on implementing existing regulations and new resilience requirements. AI adoption will be become a sector-wide topic in financial crime over the next two years, as authorised institutions and regulators gear up to tackle risks and meet regulatory expectations.
KPMG also expects Hong Kong regulators to launch initiatives to further encourage the use of distributed ledger technology (DLT) in the banking industry. This is driven by the need to build resilience against the operational risks associated with traditional settlement and payment infrastructure. It also addresses the need for banks to adapt their business models in the face of competition from new Fintech market entrants and ‘digital natives’.
Strategic cost optimisation
Geopolitical uncertainty, rising operational expenses and increasing regulatory requirements mean that manging costs will remain a focus in the banking sector. Instead of implementing broad cost-cutting measures, KPMG expects banks to adopt a more strategic approach centered on cost optimization. This involves identifying the root causes of inefficiency and implementing targeted corrective interventions. Automation can be an effective tool in this process, addressing latent inefficiency in core processes across front, middle, and back office. This can lead to increased productivity, reduced cost to serve, an enhanced customer experience and ultimately, a stronger top line.
Digital transformation trends
The pace of digital transformation in Hong Kong’s banking sector is expected to accelerate in 2025. More than one-third of financial institutions are already integrating Generative AI, supported by government initiatives such as the HKMA’s Generative AI Sandbox. Virtual assets have also been ranking high on the digital transformation agenda for banks, with initiatives like HKEX’s Virtual Asset Index Series and HKMA’s Project Ensemble Sandbox accelerating Hong Kong’s tokenisation market development. KPMG expects policy support to continue in this area throughout 2025.
In 2025, Hong Kong banks should prioritise digitising their operations by leveraging resources such as Fintech Connect; expanding their digital-savvy workforce through talent acquisition and upskilling; and future-proofing their digital asset and Generative AI readiness by establishing a robust data governance framework.
Hashtag: #KPMG:
The issuer is solely responsible for the content of this announcement.
About KPMG China
KPMG China has offices located in 31 cities with over 14,000 partners and staff, in Beijing, Changchun, Changsha, Chengdu, Chongqing, Dalian, Dongguan, Foshan, Fuzhou, Guangzhou, Haikou, Hangzhou, Hefei, Jinan, Nanjing, Nantong, Ningbo, Qingdao, Shanghai, Shenyang, Shenzhen, Suzhou, Taiyuan, Tianjin, Wuhan, Wuxi, Xiamen, Xi’an, Zhengzhou, Hong Kong SAR and Macau SAR. Working collaboratively across all these offices, KPMG China can deploy experienced professionals efficiently, wherever our client is located.
KPMG is a global organisation of independent professional services firms providing Audit, Tax and Advisory services. KPMG is the brand under which the member firms of KPMG International Limited (“KPMG International”) operate and provide professional services. “KPMG” is used to refer to individual member firms within the KPMG organisation or to one or more member firms collectively.
KPMG firms operate in 142 countries and territories with more than 275,000 partners and employees working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. Each KPMG member firm is responsible for its own obligations and liabilities. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients.
In 1992, KPMG became the first international accounting network to be granted a joint venture license in the Chinese Mainland. KPMG was also the first among the Big Four in the Chinese Mainland to convert from a joint venture to a special general partnership, as of 1 August 2012.
Celebrating 80 years in Hong Kong
In 2025, KPMG marks “80 Years of Trust” in Hong Kong. Established in 1945, we were the first international accounting firm to set up operations in the city. Over the past eight decades, we’ve woven ourselves into the fabric of Hong Kong, working closely with the government, regulators, and the business community to help establish Hong Kong as one of the world’s leading business and financial centres. This close collaboration has enabled us to build lasting trust with our clients and the local community – a core value celebrated in our anniversary theme: “80 Years of Trust”.
Media OutReach
Asia’s digital future takes centre stage at Economist Impact’s 5th annual Technology for Change Asia in Hong Kong

Taking place in Hong Kong for the 2nd year, the two-day event explored key themes including the future of work in the AI era, the quantum revolution, sustainable tech solutions, human-centered innovation, the Greater Bay Area’s transformation, China’s digital roadmap, smart and green mobility, and ethical AI.
In an opening ministerial keynote address, the Honourable Paul Chan Mo-po, GBM, GBS, MH, JP, Financial Secretary of the Government of the Hong Kong Special Administrative Region, said that Hong Kong, along with the Greater Bay Area, is poised to emerge as a leading international innovation centre because the region is building an ecosystem of patient capital, fostering a pro-innovation environment, and leveraging its unique strengths under the ‘one country, two systems’ arrangement to attract top-tier talent and drive technological progress, including in cutting-edge fields like AI.
Over 70 speakers, including renowned physicist Professor Brian Cox, shared insights on the region’s emerging investment and business opportunities. The event highlighted the unique position of the Greater Bay Area in using technology for business impact, and featured discussions on how businesses and governments can prioritise the human element in technology research and adoption to close the digital divide.
The event featured speakers from leading organisations including Alibaba.com, Booking.com, Deutsche Bank, DHL, Google, HSBC, IBM, JLL, Klook, Lan Kwai Fong Group, Li & Fung, Li Auto, LinkedIn, Mercedes-Benz Group, OCBC, Swire Hotels Group, Tencent Quantum Lab, Uber, and WhatsApp, and many more.
“From quantum computing to ethical AI, Technology for Change Asia tackled the innovations defining our future,” said Charles Ross, principal, technology and society, Asia-Pacific at Economist Impact. “The conversations we had were not just about technology but about shaping a more resilient and equitable world.”
The 5th annual Technology for Change Asia was sponsored by the Kellogg-HKUST Executive MBA Program, Hong Kong Science & Technology Parks Corporation, Tata Communications, IBM, AIA and McKinsey Global Institute. The event was supported by Brand Hong Kong, The Hong Kong Tourism Board, AI Club Asia, Asia MarTech Society, and the British Consulate-General Hong Kong. The official travel partner was Cathay Pacific.
For more information about Technology for Change Asia, please visit http://econimpact.co/TFCpress
Hashtag: #EconomistImpact
The issuer is solely responsible for the content of this announcement.
About Economist Impact
Economist Impact empowers businesses, governments and foundations to catalyse change and enable progress. Uniting the expertise The Economist Group is known for under a single brand, Economist Impact brings together policy research and insights, data visualisation, custom storytelling, events and media. Economist Impact combines the rigour of a think tank with the creativity of a media brand, engaging an influential audience in the areas of sustainability, healthcare and new globalisation. Visit www.economistimpact.com for more information.
Media OutReach
VinFuture Prize empowered the woman scientist Dr. Firdausi Qadri to give back to Bangladesh

Sharing with the VinFuture Foundation, Dr. Qadri reflects on her groundbreaking work and her passion for expanding STEM education for women. In the face of societal barriers, particularly in Bangladesh, she remains committed to empowering women in science and using her VinFuture Prize value to strengthen the country’s scientific community.
The ongoing battle against cholera
Having established herself as one of the scientific titans in the vaccine area, Dr. Qadri has developed a single oral dose of an affordable cholera vaccine to address the public health needs in Bangladesh. Her research opens the possibility of large-scale vaccination campaigns in poor countries to prevent outbreaks and reduce the healthcare cost burden, allowing them to invest in education and economic activities. This revolutionizing discovery has earned her global recognition, including the 2024 VinFuture Special Prize for Innovators from Developing Countries.
“The VinFuture Prize was completely unexpected, but it has given me immense energy and a profound sense of purpose to turn scientific solutions into real-world applications that benefit those in adverse settings, including humanitarian crises globally,” Dr. Qadri said.
Beyond its personal significance, the VinFuture Prize also empowered Dr. Qadri to give back to her home country. In 2014, Dr. Qadri formed a non-profit research institution called the ideSHi (Institute for Developing Science and Health Initiatives) located on the 11th floor of Blue Moon Gram Tower in ECB Chattar, Dhaka. She shared an astounding initiative to expand this institute using the 500,000 USD prize value from VinFuture, “Together with the VinFuture Prize money and a quarter of my personal funds, I took a bold step forward, acquiring an additional 5,000 square feet of space within the same building as ideSHi’s original facility,” she elaborated.
This facility is a bold initiative dedicated to improving public health and nurturing the next generation of scientists. Since then, this institute provides state-of-the-art facilities, offers training programs, collaborates with international partners, conducts research on genetic diseases including thalassemia – the most common blood disorder in Bangladesh – as well as infectious diseases.
“Over the past decade, ideSHi has expanded tremendously, and this new extension will allow us to tackle even more critical health challenges while further strengthening scientific capacity in Bangladesh,” she shared. “With prize money received from VinFuture, I am confident that this support will help ideSHi develop pragmatic solutions to public health challenges and ultimately help advance Bangladesh’s position in biomedical research.”
The achievement results in her determination after witnessing firsthand the dire impact of cholera and diarrheal diseases. Her journey began as a scientist with a deep passion for immunology, later on extended her work beyond the laboratory to the field, fully devoted to the cause of uplifting the lives of Bangladesh and beyond.
However, through her extensive work in diarrheal diseases at their main hospital in Bangladesh, Dr. Qadri estimates an annual intake of approximately 200,000 patients, with 90-95% comes from impoverished backgrounds. Living in overcrowded conditions with shared toilets, kitchens, and bathrooms, they face rapid disease transmission. “If one person contracts cholera, the infection can spread to three other people in the family and beyond due to contaminated hands and food,” Dr. Qadri explained. “It’s very difficult to control.”
Recognizing the persistent devastation of global health crises, Dr. Qadri extended her research beyond the laboratory. She conducted field studies on vaccine effectiveness, distribution strategies, and public health interventions. Her efforts extended beyond academia as she worked more with the government, advocating for necessary actions to improve healthcare access.
“Over 15 to 20 years, my work has evolved to encompass not just vaccine development, but also implementation strategies – exploring the effectiveness of different modes in delivering vaccines and understanding how to integrate water, sanitation, and hygiene (WASH) with vaccination programs to achieve cholera control,” she noted.
Dr. Qadri emphasized that cholera remains a disease of poverty, often overlooked due to its association with inadequate sanitation and clean water access. She also pointed out that some governments were reluctant to acknowledge the disease’s prevalence, fearing for their global image. Therefore, she expressed deep gratitude and immense joy at being recognized by such a prestigious global award as the VinFuture Prize. “This recognition is a tremendous honor and serves as a motivation for me to move ahead,” she shared.
Breaking glass ceilings
Dr. Qadri’s dedication to rigorous scientific research and her success in the cholera vaccine area serves as an inspiration for young women all over the world. However, for women in science, particularly in developing countries across Asia, the road is often fraught with challenges. Deep-seated prejudices and invisible glass ceilings make it difficult for women to gain recognition in male-dominated fields.
“I always want to be known as a scientist, not a “woman scientist,” who works alongside men as equals“, Dr. Qadri shared. “But I cannot deny that acceptance has not always come easily.”
The unwavering support of her family played a crucial role, encouraging her to push boundaries and proving that a woman is just as capable as a man. “I traveled to remote areas, worked long hours in the field, and committed myself fully to scientific research. I have managed to overcome many prejudices, though challenges remain,” she noted.
It is also a driving force that motivates her to passionately advocate for empowering women in STEM education. According to her, science, technology, engineering, and mathematics are the foundation of progress, driving innovation and shaping the future. Yet, women remain underrepresented in STEM fields, not only in developing countries but even in advanced economies.
“If we truly want to make a meaningful contribution to the world, women must be part of this transformation,” Dr. Qadri emphasized.
Many hesitate to pursue careers in STEM, not due to a lack of ability but because of societal expectations and deeply ingrained biases. Fields including engineering and mathematics, in particular, remain male-dominated, with cultural norms dictating which professions are deemed “suitable” for women.
Another critical factor is the cost and commitment required. STEM education is more demanding, expensive, and time-intensive compared to fields including finance or commerce. Success in STEM requires years of dedication and persistence, making it an uphill battle, especially for women who must balance professional ambitions with societal expectations of family life.
“I try to use my journey to show young women that it is possible to have a family, raise children, and do science.” She remarked, “You just need to know the mechanism to do it. There is no secret formula: just focus, perseverance, and unwavering commitment to the work you choose to do.”
Addressing health disparities
Driven by the goal to seek effective preventive public health solutions for Bangladesh and other developing countries, Dr. Qadri focuses on large-scale clinical studies using Vietnamese live vaccine train, which allowed her to conclude the benefit, power and feasibility of an oral dose of an affordable vaccine.
“Vietnam, which has been able to control cholera better through concerted public health efforts, has always been an example I reflected on.” She stated, “If Vietnam can better control cholera through a comprehensive public health approach, why can’t we?”
Besides vaccination, the scientific titan emphasized the need for a holistic approach, including improvements in WASH education, and surveillance. However, behavioral change and access to clean water remain significant hurdles. Thus, according to Dr. Qadri, to provide crucial protection in the short term, there are two key strategies: reactive vaccination during an outbreak and preventive vaccination to build immunity.
However, a major obstacle the world faces is the global shortage of cholera vaccines. “Despite cholera affecting millions across Asia, Africa, and Latin America, only 80 million vaccine doses are currently available annually. This is far below what is needed – Bangladesh alone requires 100 million doses in the coming years,” she noted.
The economic constraints surrounding cholera vaccines also present a challenge. Since cholera is often considered a “disease of poverty,” many pharmaceutical companies hesitate to invest in its production due to low profit margins. “This is already happening,” she stressed.
To address this, Dr. Qadri actively advocates for increased vaccine production in Bangladesh. She shared that one of her team’s key achievements has been demonstrating that in a major outbreak, giving the vaccine in a reactive way can quickly reduce the number of cases. “We have implemented this strategy in multiple regions of Bangladesh,” Dr. Qadri added.
“More importantly, as a result of our dedication, we now have a national cholera control plan, centered on preventive vaccination, ensuring that people receive doses regularly – whether annually or every three years – to stay protected before outbreaks occur. This is a significant milestone in our fight against the disease.” she said.
Hashtag: #VinFuture
https://vinfutureprize.org/vinfuture-prize-nomination/
The issuer is solely responsible for the content of this announcement.
VinFuture
The VinFuture Foundation, established on International Human Solidarity Day on December 20th, 2020, is a non-profit organization co-founded by billionaire Mr. Pham Nhat Vuong and his wife, Mrs. Pham Thu Huong. The Foundation’s core activity is awarding the annual VinFuture Prize, which recognizes transformative scientific and technological innovations capable of making significant positive changes in the lives of millions of people worldwide.
The nomination period for the 2025 VinFuture Prize will close at 2:00 PM on April 17, 2025 (Vietnam time, GMT+7).
The VinFuture Prize consists of four prestigious awards presented each year. The most esteemed is the VinFuture Grand Prize, valued at US$3 million, making it one of the largest annual prizes globally. Additionally, there are three Special Prizes, each valued at US$500,000, specifically dedicated to honoring women innovators, innovators from developing countries, and innovators with outstanding achievements in emerging fields.
Media OutReach
HOFA Gallery and PhillipsX Presents SPACES II: Capturing the Ephemera at Phillips’ Asia Headquarters in Hong Kong’s West Kowloon Cultural District

Exploring art, technology and impermanence at Phillips during Hong Kong Art Week 2025, featuring seven visionary artists: Refik Anadol, Sougwen Chung, Random International, Tyler Hobbs, Addie Wagenknecht, Gina Choy & Maja Petrić
HONG KONG SAR – Media OutReach Neswire – 24 March 2025 – SPACES II: Capturing the Ephemera, presented by HOFA Gallery and PhillipsX, explores new artistic and technological frontiers, expanding on the themes introduced in the inaugural SPACES exhibition in London during Frieze Week 2024. This latest instalment, taking place during Hong Kong Art Week 2025, reflects further on the intersection of art, technology and impermanence.
Featuring works by seven visionary artists; Refik Anadol, Sougwen Chung, Random International, Tyler Hobbs, Addie Wagenknecht, Gina Choy and Maja Petrić, the selling exhibition examines how technology can capture, preserve and transform fleeting moments into enduring artistic expressions. It runs from 28 March to 15 April 2025 at Phillips’ Asia headquarters in Hong Kong’s West Kowloon Cultural District.

SPACES is an innovative series of exhibitions that confronts the profound challenges and possibilities presented by computing technologies and their impact on human experience. The first edition, launched at Phillips London in 2024, explored the dynamic interplay between AI, generative art and digital creativity.
SPACES II examines how technology can give form to the impermanent, whether through environmental shifts, generative processes, or the fluidity of human perception and memory. The selling exhibition will showcases a diverse array of works, including immersive installations, generative digital art, algorithmic designs and contemporary mixed-media pieces.
Miety Heiden, Deputy Chairwoman and Head of Private Sales at Phillips, says: “Following the success of the first installment in London in 2024, we are thrilled to bring SPACES II: Capturing the Ephemera to Phillips Hong Kong in collaboration with HOFA Gallery. This exhibition continues our commitment to showcasing artists at the forefront of digital and generative art, exploring how technology transforms transient moments into lasting expressions. As part of Hong Kong Art Week 2025, we look forward to presenting these groundbreaking works to a global audience in our Asia headquarters.”
SPACES II: Capturing the Ephemera: Free and open to the public daily.
Dates: 27 March VIP & Press Preview. 28 March to 15 April 2025 (Closed on 4 April)
28-30 March 11:00-19:00
1-15 April 10:00-18:00
Venue: Phillips Asia Headquarters, 1F, WKCDA Tower, West Kowloon Cultural District, 8 Austin Road West, Kowloon
TheHouseofFineArt.com & Exhibitions.Phillips.com
Hashtag: #HOFAGallery #PhillipsX
The issuer is solely responsible for the content of this announcement.
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