Hong Kong Deposit Protection Scheme 20th Anniversary: Protection limit of HK$800,000, total protected deposits reach HK$3.66 trillion

The Hong Kong Deposit Protection Board (HKDPB) announced that the Deposit Protection Scheme (DPS) will celebrate its 20th anniversary on 25 September 2026. Over the past 20 years, the DPS has achieved significant enhancements in protection coverage, operational efficiency and public awareness, continuously helping to strengthen public confidence in the banking system. In terms of protection limits, the DPS protection limit was raised from HK$100,000 in 2006 to HK$500,000 in 2011, and further increased to HK$800,000 in 2024. Both increases were higher than the cumulative inflation over the same period, thereby enhancing the real value of deposit protection. The total amount of protected deposits increased sevenfold, rising from HK$452 billion in 2006 to HK$3,656 billion in 2025. At present, the DPS provides full protection to 92.5% of depositors, in line with international standards. In terms of operational efficiency, the DPS has adopted the gross payout approach for determining compensation amounts since 2016, significantly shortening the target time for compensation payout from 42 days to 7 days. Since 2021, electronic payment methods (including Faster Payment System) have been added for compensation payouts, which can further shorten the compensation payout process by one to two days compared to using physical cheques only. In terms of public awareness, the DPS's public awareness has increased from 67.2% in 2006 to around 80% in recent years. Public confidence also reached a new high of 86.7% in 2025, reflecting the effectiveness of the HKDPB's ongoing efforts to promote greater public understanding of the DPS. Mrs Liu Yin-king, Chairman of the HKDPB, said that as the "deposit guardian," the HKDPB has been doing its utmost over the past two decades to give depositors peace of mind. As the DPS enters a new chapter, she looks forward to its role being further deepened, continuing to provide protection for depositors and contribute to the stability of Hong Kong's banking system. Mr Chen Yi, Chief Executive Officer of the HKDPB, said that an effective and efficient DPS is crucial to maintaining public confidence in the banking system. The HKDPB will continue its efforts to ensure that the DPS continues to effectively fulfil its key functions in an ever-changing financial environment. To mark the 20th anniversary of the DPS, the HKDPB is launching a series of promotional and community education activities to enhance public awareness and confidence in the DPS. The HKDPB has also updated its website to optimise user experience, making it more convenient for the public and other stakeholders to browse and access information about the DPS.