Banks prepare for new rules allowing Hong Kong, Macau homebuyers to bypass daily remittance cap when buying property in Greater Bay Area

Hong Kong and mainland Chinese banks have started to prepare for a new cross-border payment regime that will make it easier for Hong Kong and Macau homebuyers to transfer the funds they need to purchase property in the Greater Bay Area.

“The new cross-border payment policy for Greater Bay Area property purchase has been set and now the key issue is to make sure it can be conducted smoothly when it becomes effective from February 26,” said Eddie Yue Wai-man, CEO of the Hong Kong Monetary Authority, in a Legislative Council financial affairs panel meeting on Monday.

Under the new regime, property buyers from Hong Kong or Macau who purchase real estate in the mainland cities of the bay area will be allowed to transfer the entire amount through their banks to settle the deal, bypassing the daily remittance cap of 80,000 yuan (US$11,240) per day.

“Banks will also need to inform their clients about the new arrangements, which will make it easy for those who want to buy properties in the Greater Bay Area, and hence will further integrate Hong Kong and Macau with the mainland cities in the development area,” he said.