Regulatory Alerts2024-02-07
Added · Updated
The Digitalisation of AML/CFT Supervision: Where Now and What Next
The Hong Kong Monetary Authority (HKMA) outlines the achievements and future direction of its AML Digitalisation Programme, which has modernized supervision through Supervisory Technology (Suptech) and promoted Regulatory Technology (Regtech) adoption by financial institutions. The HKMA has enhanced its data-driven off-site monitoring, horizon scanning, and macro analytics capabilities to shift focus from compliance to effectiveness, while fostering a collaborative ecosystem involving banks, law enforcement, and technology providers. Future initiatives include integrating advanced analytics like Natural Language Processing, expanding the Macro Analytics programme to combat fraud, and issuing guidance on the responsible use of Artificial Intelligence in AML systems.