The Hong Kong Monetary Authority (HKMA) launched the Quantum Preparedness Index (QPI) on July 27, 2026, alongside a comprehensive whitepaper during the eighth edition of its FiNETech series. The initiative aims to prepare Hong Kong's banking sector for cybersecurity challenges posed by quantum computing by providing measurable benchmarks for assessing institutional preparedness and encouraging transition toward post-quantum cryptography (PQC). As advances in quantum technology continue globally, regulators and financial institutions are increasingly examining how future computing capabilities could affect the security of financial infrastructure, with the HKMA establishing a long-term objective of achieving full industry readiness by 2030.
HKMA Readiness Assessment Reveals Early Stage Sector Preparation
The Quantum Preparedness Index measures institutions across four categories: Awareness, Planning, Pilots, and Practical Preparedness. Each participating bank receives a readiness score designed to reflect its progress in preparing for the transition to quantum-safe cryptographic systems.
The first assessment produced an average sector-wide score of 2.3 out of 10, indicating that Hong Kong's banking industry remains in the early stages of quantum preparedness. According to survey findings released by the HKMA, approximately 68% of banks have either developed awareness of quantum-related risks or begun planning for future implementation. However, the remaining 32% have yet to undertake meaningful preparation, while around half of the surveyed institutions do not currently maintain formal post-quantum transition strategies.
Although practical quantum computers capable of breaking modern encryption have not yet become commercially available, cybersecurity experts increasingly view early preparation as essential. Future fault-tolerant quantum systems could eventually compromise many widely used cryptographic algorithms that currently secure banking systems, financial transactions, and sensitive customer information.
HKMA Develops Post-Quantum Cryptography Toolkit with HKUST Partnership
The HKMA is developing a post-quantum cryptography toolkit in partnership with the Hong Kong University of Science and Technology. The toolkit is intended to help financial institutions evaluate their existing cryptographic infrastructure, identify priority areas for migration, and establish practical implementation plans for adopting quantum-resistant security standards.
In addition to technical guidance, the regulator plans to organize industry workshops focused on improving quantum preparedness and examining responsible applications of quantum technologies within financial services. These educational initiatives are expected to help banks strengthen internal expertise while encouraging collaboration across the sector.
The HKMA has established a long-term objective of achieving full industry readiness by 2030, with a target Quantum Preparedness Index score of 10 across the banking sector.
Global Financial Institutions Expand Quantum Computing Research
The launch of the Quantum Preparedness Index coincides with increasing international attention toward quantum computing's potential impact on financial services. Major financial institutions have expanded research into quantum technologies, both to explore new business applications and to prepare for emerging cybersecurity challenges.
Recent collaborations have illustrated this trend. JPMorganChase has entered partnerships with Oxford Quantum Circuits and AMD to explore quantum and artificial intelligence platforms for financial applications. Meanwhile, Crédit Agricole CIB has continued advancing its quantum computing research through cooperation with Pasqal.
Regulatory interest has also intensified. In May 2026, the G7 central banks issued a report warning that advances in quantum computing could eventually threaten existing financial infrastructure if organizations fail to modernize their cryptographic systems in time.
Industry projections suggest quantum computing could generate between $400 billion and $600 billion in economic value for financial services by 2035 through applications including portfolio optimization, risk analysis, fraud detection, and other computationally intensive financial processes.
FAQ
What did the HKMA launch on July 27, 2026?
The HKMA launched the Quantum Preparedness Index (QPI) alongside a comprehensive whitepaper during the eighth edition of its FiNETech series. The initiative provides measurable benchmarks for assessing institutional preparedness and encouraging transition toward post-quantum cryptography.
What was the average Quantum Preparedness Index score for Hong Kong banks?
The first assessment produced an average sector-wide score of 2.3 out of 10. Approximately 68% of banks have either developed awareness of quantum-related risks or begun planning for future implementation, while 32% have yet to undertake meaningful preparation.
What is the HKMA's target for achieving full quantum readiness?
The HKMA has established a long-term objective of achieving full industry readiness by 2030, with a target Quantum Preparedness Index score of 10 across the banking sector. The regulator is developing a post-quantum cryptography toolkit in partnership with the Hong Kong University of Science and Technology to support this transition.
