A Hong Kong government report says money laundering puts the city at "medium high" risk, with the banking sector risk labeled "high."
Hong Kong is raising its guard against the threat of money laundering as its vulnerability to financial crimes is seen on the rise.
The city, long an oasis of good government and transparent finance in a region that often struggles with corruption and illicit money dealings, is well aware of its reputation and wants to keep it.
In a report released at the end of April, Hong Kong rates its ability to fight dirty money flows as "medium-high," citing its strong legal system, political commitment to the issue, and cooperation between the public and private sectors.
But the very strengths that give the city economic dynamism — such as openness to financial flows and the sheer size of the banking system — can also be weaknesses...