The Chief Executive has appointed Professor Andrew Chan Chairman of the Deposit Protection Board. Other members also appointed include Ian Chapman, David Cheung, Nicholas Peter Etches and Nam Lee-yick.

The term of appointment runs from July 1 to June 30, 2006. The first board meeting will be held in July. The board will start collecting contributions and provide deposit protection in 2006.

Monetary Authority Chief Executive Joseph Yam said: "I am confident that, under the guidance of Professor Chan and other members, the board will establish an effective deposit protection scheme in Hong Kong, which will contribute to the stability of the banking sector and the financial system as a whole."

Professor Chan said: "I am honoured to be appointed chairman. I look forward to working closely with other members in meeting the challenge of establishing a deposit protection scheme in Hong Kong."