The Securities and Futures Commission has urged Hong Kong businesses to prepare for compulsory universal Covid-19 testing, an event that is likely to affect their operations as the city struggles to contain an Omicron-fuelled fifth wave of the pandemic.
“Amid the acute situation of the fifth wave of Covid-19 infections in Hong Kong, the SFC again reminds licensed corporations to review and update their business continuity plan (BCP),” said an SFC circular issued late on Monday.
“As the HKSAR government has announced its intention to implement a Compulsory Universal Testing (CUT) scheme, albeit with the timing and details not yet announced, licensed corporations should start preparing now considering the number of actions that may need to be taken in advance.”
The reminder came as surging cases in the city led to the toughest social distancing curbs yet in the two years since the pandemic hit Hong Kong. Meanwhile, countries elsewhere – who were hit by the Omicron variant earlier and with higher rates of vaccination among the population – have started to ease restrictions in an effort to live with the virus.
As the city grapples with its worst coronavirus outbreak yet, 20 banks in the city have shut branches to stem the spread of the disease, and restaurants and supermarkets have also cut back their hours substantially, if not temporarily discontinuing operations.
Twelve Hong Kong banks, including the note-issuing lenders Standard Chartered and Bank of China (Hong Kong), have also suspended all banking services on Saturdays.
On Monday, the Hong Kong government reported a caseload of 25,150 infections in the city after seeing a week of over 50,000 daily cases that had overwhelmed hospitals and isolation facilities. The Hospital Authority also reported a record 161 fatalities in a 24-hour period as of Monday, involving patients aged between 29 and 102.
The surging cases in the city have prompted authorities to initiate universal testing in the coming weeks. People familiar with the situation have told the South China Morning Post that mass testing could begin on March 26, spanning nine days under a preliminary plan to impose some form of lockdown, but the exact timing and details had yet to be ironed out.
“HKEX is committed to operating robust and resilient markets,” said a spokesperson at the city’s stock exchange, when asked whether market trading would continue. “Our intention is always to keep markets fully functioning whatever the prevailing environment.”
The SFC reminded companies to review their business operations, including third-party vendors, tracking and identifying staff who may have close contact with positive cases and to consider alternative channels of payment to ensure timely settlement of transactions as banks have adjusted their business hours.
Hong Kong's bank branch closures as ofFebruary 25
| Bank |
Number of Branch Closures |
Full Suspension of Branch Services on Saturday |
| HSBC |
51 |
No |
| Hang Seng Bank |
46 |
Yes ** |
| BOCHK |
124 |
Yes ** |
| Standard Chartered |
45 |
Yes * |
| Bank of East Asia |
28 |
Yes** |
| ICBC Asia |
34 |
No |
| CCB Asia |
19 |
Yes ** |
| OCBC Wing Hang |
5 |
No |
| CMB Wing Lung |
19 |
Yes * |
| Shanghai Commercial Bank |
30 |
No |
| China Citic Bank |
16 |
Yes* |
| Bank of Communications HK |
19 |
Yes** |
| Chiyu Bank |
12 |
No |
| Citibank |
5 |
Yes** |
* All branches suspend services on every Saturday from February 26 until further notice
** All branches suspend services on every Saturday from March 5 until further notice
Sources Hong Kong Association of Banks and individual banks
They were also reminded to adopt measures to mitigate the risk of financial loss, and to ensure good communication with clients when operations are delayed or disrupted.
“The SFC will continue close dialogue with licensed corporations and, so far as legally permitted … afford regulatory flexibility where necessary to address unavoidable operational constraints arising from the Covid-19 situation,” the circular said.
