The Hong Kong Monetary Authority (HKMA) has introduced a new framework designed to prepare Hong Kong’s banking sector for the cybersecurity risks associated with quantum computing. On July 27, 2026, the regulator launched the Quantum Preparedness Index (QPI) together with a detailed whitepaper during the eighth edition of its FiNETech series, setting out a structured path for financial institutions to move toward post-quantum cryptography (PQC).

The initiative is intended to give banks measurable benchmarks for evaluating their readiness while encouraging long-term planning for the possible impact of quantum computing on existing encryption standards. As quantum technology advances globally, regulators and financial institutions are increasingly examining how future computing capabilities could affect the security of financial infrastructure.

The HKMA said the Quantum Preparedness Index and accompanying roadmap are meant to help banks transition toward post-quantum cryptography and strengthen resilience against future quantum computing threats.

Readiness Assessment Shows Early-Stage Preparation

The Quantum Preparedness Index evaluates institutions across four categories: Awareness, Planning, Pilots, and Practical Preparedness. Each participating bank receives a readiness score intended to reflect its progress in preparing for 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 is still in the early stages of quantum preparedness. According to survey findings released by the HKMA, about 68% of banks have either developed awareness of quantum-related risks or started planning for future implementation. The remaining 32% have not yet undertaken meaningful preparation, while roughly half of the surveyed institutions do not currently have formal post-quantum transition strategies.

Although practical quantum computers capable of breaking modern encryption are not yet commercially available, cybersecurity experts increasingly view early preparation as essential because banking systems typically rely on long-lived cryptographic infrastructure that can be difficult to replace quickly. Future fault-tolerant quantum systems could eventually compromise many widely used cryptographic algorithms that currently secure banking systems, financial transactions, and sensitive customer information.

The HKMA’s initiative reflects a broader international effort to strengthen financial resilience before those risks become operational realities.

Toolkit and Industry Collaboration

As part of the broader program, 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 assess their current cryptographic infrastructure, identify priority areas for migration, and build practical implementation plans for 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 in financial services. These educational initiatives are expected to help banks strengthen internal expertise while encouraging collaboration across the sector.

The HKMA has set a long-term goal of achieving full industry readiness by 2030, with a target Quantum Preparedness Index score of 10 across the banking sector.

The regulator is complementing the index with a post-quantum cryptography toolkit, industry workshops, and a sector-wide objective of full quantum readiness by 2030.

Global Financial Sector Focus on Quantum Risk

The launch of the Quantum Preparedness Index comes amid growing international attention to the potential impact of quantum computing on financial services. Major financial institutions have expanded research into quantum technologies both to explore possible 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 increased. In May 2026, the G7 central banks issued a report warning that advances in quantum computing could eventually threaten existing financial infrastructure if organizations do not 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.

By establishing measurable preparedness standards well before large-scale quantum computing becomes commercially viable, Hong Kong is giving its banking sector a reference point for planning upgrades to cryptographic systems that may be difficult to change later, while also aligning with the wider shift in global finance toward quantum-risk readiness and quantum-safe infrastructure.