Fusion Bank has migrated to a new core banking system in just 10 months, setting a new industry benchmark for core banking upgrades in Hong Kong, with the support of Tencent Cloud and leveraging WeBank’s independently developed digital banking technology.
As a licensed digital bank in Hong Kong, Fusion Bank officially started operations in December 2020 and has experienced rapid business growth. As demand for its services increased, the bank needed to enhance service quality and operational efficiency, leading Fusion Bank to initiate its next-generation core banking system migration project in December 2023.
Migrating a bank’s core system is a highly complex and risk-intensive endeavor. Fusion Bank needed to seamlessly integrate and transform over 150 subsystems across five key banking areas—retail deposits, retail loans, corporate deposits, corporate loans, and foreign exchange services—while ensuring compliance with regulatory and market standards, and minimal user disruption.
To support the migration, Tencent Cloud built a robust cloud computing environment for Fusion Bank, powered by solutions such as Tencent Cloud Database (TDSQL) and Tencent Cloud TCE.
To enhance operations and maintenance (O&M) efficiency, Tencent Cloud implemented a Configuration Management Database (CMDB), significantly improving system maintainability and simplifying O&M processes.
This enabled Fusion Bank’s IT O&M team to focus on business innovation and development rather than system management.
The close collaboration between Fusion Bank and Tencent Cloud allowed the migration to be completed in just 10 months. The system switchover took only 15 hours, and within a six-hour data migration window, systems and data from multiple vendors were seamlessly transferred to the new core system.
“By 2027, we anticipate a 53% reduction in non-labor IT costs compared to 2024, with these costs gradually decreasing from 60% to 39% of our total expenses,” said Billy Chiu, alternate chief executive and chief technology officer of Fusion Bank.
“Beyond cost efficiency, the new core system enhances our agility, allowing us to swiftly respond to market shifts by introducing innovative financial products and providing our customers with superior financial experiences in a timely manner,” said Chiu.
