ANALYSIS – Banking regulatory ecology, regulatory framework and compliance

Macau Business magazine l June 2026

By Ouyang Chenghu

Compliance Officer, AML/ CFT Officer, General Manager of Legal and Compliance Department of ICBC Macau

As a model of the successful implementation of the“One country, Two systems” principle, Macau enjoys a high degree of autonomy and is known for its free port policy and open and convenient cross-border environment. It is one of the most open economies in the world. This unique geographical location and economic characteristics make it a natural node of regional and even international financial activities, and at the same time, it also shapes a micro-finance supervision ecology that is very different from the mainland. Under the “risk-based” pragmatic regulatory framework of the Monetary Authority of Macao (AMCM), banking institutions not only face the special challenges of the local micro-market, but also have major opportunities to integrate into the construction of the Guangdong-Hong Kong-Macau Greater Bay Area(GBA).

In recent years, Macau’s financial regulatory environment is in a stage of profound change and accelerated improvement. The promulgation and implementation of the Legal System of the Financial System in 2023 marks an important update of the cornerstone of financial regulation in Macau. It is aimed at responding to the rapid development of fintech, the continuous evolution of international regulatory standards, and the higher requirements for regional financial coordination posed by the in-depth integration of GBA. The regulatory rule system is characterized by“dynamic adaptability”“risk-based orientation”“cross-border synergy”and“delicacy and tiered supervision”,covering institutional governance, capital adequacy, liquidity, credit risk, operational and IT risk, AML/CFT and specialized business areas.

In this context, the compliance management of Macau’s banking industry has gone beyond the simple satisfaction of“compliance”and is moving towards a new stage of“effectiveness”and“proactive risk management.” Banking institutions(BIs) need to have a deep understanding of and proactively adapt to the local regulatory environment, and be forward-looking and benchmarked against the constantly evolving laws, regulations and regulatory guidelines. Accurately identify and focus on the prevention and control of risks in core areas such as the effectiveness of corporate governance, complex risk management (especially IT risk), cross-border business compliance (especially innovation under the framework of GBA, and AML of“gaming-related customers”with distinctive characteristics of Macau. Only in this way can we effectively control the new regulatory requirements and seize the development opportunities brought by regional integration while ensuring stable operation. This paper aims to discuss the key compliance areas and core response strategies of the Macau banking industry at present and in the future from three…