Zhong An Group is expected to launch its first online-only banking service in the city within six to nine months. Livi VB Limited plans to open their online banking service in six months, according to a Beijing News report.

Norman Chan, the chief executive of the Hong Kong Monetary Authority, said that the introduction of virtual banks in Hong Kong is a key pillar supporting Hong Kong's entry into the smart banking era.

"It is a major milestone in reinforcing Hong Kong's position as a premier international financial center. I believe that virtual banks will not only help drive fin-tech and innovation, but also bring about brand new customer experiences and further promote financial inclusion in Hong Kong," said Chan. By targeting the retail public and small- and medium-sized enterprises, virtual banks should help to promote financial inclusion in Hong Kong, he added.

With the granting of the three new licences, the number of licensed banks in Hong Kong will rise to 155, said the Hong Kong Monetary Authority.