The Hong Kong Monetary Authority (HKMA) considers maintaining a safe and efficient banking system, as well as promoting access to basic banking services for legitimate businesses, as crucial priorities. As part of its anti-money laundering and counter-financing of terrorism efforts, the HKMA requires authorized institutions (AIs) to adopt a risk-based approach (RBA) in line with international standards. To assist AIs in applying the RBA, the HKMA provides practical guidance and feedback from time to time. The HKMA has identified some observations and good practices in its ongoing engagement with stakeholders, and would like to draw AIs’ attention to three areas: initial customer contact, understanding of market developments, and risk management vs. wholesale de-risking. AIs should review their account opening procedures and customer due diligence measures and provide staff training to ensure effective ML/TF risk management while providing inclusive access to banking services. The HKMA will continue its dialogue with the industry to share observations and good industry practices where appropriate.