Hong Kong’s Robust AML/CTF Regime: Cracking Down on Money Laundering and Terrorist Financing in a Global Financial Hub

Hong Kong, known as a leading international financial hub, is taking significant strides to safeguard its financial systems against money laundering and terrorist financing (AML/CTF) activities. The city places great importance on upholding international standards in AML/CTF to deter and detect inward and outward illicit funds.

participation in International Organizations

As a key player in the global AML/CTF arena, Hong Kong is an active member of several organizations:

• Financial Action Task Force (FATF) since 1991
• Asia/Pacific Group on Money Laundering (APG) since its founding in 1997

Governing Structure

The formulation and implementation of AML/CTF policies in Hong Kong are driven forward by a high-level Central Coordinating Committee, chaired by the Financial Secretary:

• Comprises representatives from various government bureaus, financial regulators, law enforcement agencies, and relevant departments
• Collective efforts to drive AML/CTF initiatives in the region

Key Players in Enforcing AML/CTF Policies

Companies Registry

Maintains corporate transparency and ensures regulatory compliance:

• Incorporation of companies
• Administration of the Companies Ordinance
• Oversight of trust or company service providers (TCSP)
• Monitoring the issuance of money lenders licenses

Maintaining Transparency and Compliance

Trust or Company Service Providers (TCSPs)

• Ensured to adhere to customer due diligence and record-keeping requirements as outlined in the Anti-Money Laundering and Counter-Terrorist Financing Ordinance, Cap. 615

Licensed Money Lenders

• Adhere to AML/CTF regulations

Accessing AML/CTF Resources

Extensive resources on Hong Kong’s entire AML/CTF regime, including:

• Governing legislation
• Publications from the FATF
• UN sanction lists
• Guidance from the Companies Registry

are accessible through this thematic section.