HSBC has launched a digital credit card in mainland China as part of its efforts to bolster its retail banking and wealth management business in the country.
The bank's China operation, which recently opened its first Jade Centre in China and exceeded the one million credit card issuance mark, will capitalise on existing facial recognition technology to allow users to activate their digital credit cards, and access the card's details.
The new digital card can be connected to and accessed via digital wallet solutions, namely Alipay, WeChat Pay and UnionPay, and will provide clients with the same benefits and privileges one would receive from a physical card.
"We have invested in data analytics capabilities and AI-powered risk control systems to provide a digital credit card solution that caters to the spending needs of customers looking for ease, convenience, value and security," saidRichard Li, EVP and head of retail banking and wealth management for HSBC in China.
The launch of the digital card coincides with the recent reveal of the bank's involvement in the first successful cross-border, RMB-denominated letter of credit blockchain deal. The transaction saw the issuing of a digitised letter of credit on behalf of Shenzhen MTC, a manufacturing firm, to HSBC Hong Kong.
In China, HSBC operates around 170 outlets across more than 50 cities. It is also one of the first foreign lenders to locally incorporate its operations in the country by setting up HSBC Bank (China) Company in April 2007.