Hong Kong plans to regulate virtual money and improve the AML system.

The Hong Kong government is considering strengthening financial regulatory measures, especially in the virtual money and precious goods industries. The Financial Secretary proposed in the latest budget that virtual money service providers, as well as the jewelry, jade, and precious metals industries, be brought under regulatory oversight. This initiative aims to further enhance Hong Kong's system for combating money laundering and terrorist financing. The government intends to conduct public consultations on these specific proposals within the year.

The Financial Secretary stated that the Financial Action Task Force (FATF) recently conducted a comprehensive assessment of Hong Kong's anti-money laundering and counter-terrorist financing system. Notably, Hong Kong has become the first member region in the Asia-Pacific area to successfully pass the organization's review. The government will refer to the recommendations in the assessment report to further improve the relevant systems.

In addition, the Hong Kong government will continue to monitor the latest developments in international banking regulatory standards. They are committed to implementing the latest international banking regulatory standards in accordance with the Basel Committee on Banking Supervision's regulations to ensure the stability and reliability of Hong Kong's financial system.

These measures reflect the Hong Kong government's determination to maintain financial security and enhance international competitiveness. By strengthening regulation in emerging financial sectors while aligning with international standards, Hong Kong is expected to further consolidate its position as a global financial center.