Arthur Yuen: Closing remarks on Regtech Closing remarks by Mr Arthur Yuen, Deputy Chief Executive of the Hong Kong Monetary Authority, at the HKMA's "Unlocking the Power of Regtech" Event, 30 June 2021. * * *  Introduction – The event puts the 4 actions into play 1. Ladies and Gentlemen, on behalf of the HKMA, thank you all for attending today’s event. 2. Let me first reiterate why this event is important to us. As Eddie mentioned earlier, the HKMA is taking a series of actions to realise our Regtech 2025 vision. Today’s flagship event is part of our journey towards that vision of developing Hong Kong into a leading Regtech hub. 3. Our guest speakers have shared how Regtech is currently being used in their organisations. They have also talked about how Regtech is helping them – particularly in challenging times like these. We are all working towards the same goal – to accelerate the adoption of Regtech in our respective organisations and jurisdictions. We have seen the adoption of technology rapidly speeding up around the globe. And this event is a timely platform for sharing different ways of facilitating Regtech adoption and expanding the Regtech ecosystem. Why the HKMA is prioritising Regtech 4. Why is the HKMA prioritising the promotion of Regtech adoption? It is because we fully believe Regtech has the potential to bring massive benefits to everyone. Let me try to summarise the three most important benefits. 5.
10. Many success stories have been showcased in today’s event. The Roundtable with Tech Giants session offered valuable insights into how to use Cloud and Artificial Intelligence to aid Regtech adoption. In the Pulse of Regtech and Masterclass sessions, our guest speakers shared real-life stories on practical drivers for Regtech adoption and factors in successful solution implementation. 11. We heard how organisations have successfully implemented Regtech solutions in a number of areas within their risk management and regulatory compliance functions. These areas included credit risk management, stress testing, sales practice and suitability, employee conduct and monitoring, regulatory reporting, and regulatory compliance obligations. It is therefore very clear that the use of Regtech goes far beyond anti-money laundering and financial crime compliance, although that area of use cases is certainly a very good place to start any Regtech adoption journey! 12. If you are like me, you would have noted down many practical tips offered by our speakers today. Let me share four key takeaways that I noted for overcoming the challenges connected with Regtech adoption: First, buy-in is crucial. A range of stakeholders from across financial institutions need to buy in to Regtech and collaborate fully in adopting it. We have heard how a supportive leadership can shape an organisation’s culture, and in turn drive Regtech-led transformations. Middle management and operational staff need to support this as well. Second, data is king. This point has been made repeatedly today.