Hong Kong

Legacy systems, regulatory challenges, and exposure to the mainland are taking their toll on banks.

The weak housing market outlook is partly to blame.

The government is implementing a revised bank resolution regime.

But potential funding volatility will come from changes in banks' loan and deposit currency mix.

The prevalence of high-LTV second mortgages increases default risks for homebuyers.

That is following a period of steady decline starting in 2014.

That is in response to the move towards more stringent regulatory requirements.

Fee income will improve in the next 12-18 months.

More than the digital products, banking executives need to focus on what their customers really want.

The banks' asset quality is expected to be resilient.

Rising private sector debt is one key risk.

He will talk about the next generation in global transaction banking at the 2017 Banking Forum.

He will join the discussion about banks and fintechs.

Rising interest rates are to blame.

The estimated trade finance gap stands at US$1.6t.

This was the fourth consecutive quarter of revenue growth year on year for Citi in Asia. Last Friday Citi globally reported 2Q results – with US$17.9bn of revenues and US$3.9bn of net income. Asia was a strong contributor to these results, with broad based growth and revenue of US$3.4bn up 4% year on year. A standout performer was Citi’s consumer bank in the region. Citi’s consumer business grew revenues by 4% during the quarter to US$1.8bn with profit up 9% year on year and 31% versus the previous quarter. Asia contributed nearly a third of all the profit generated by the bank’s consumer business in the second quarter.