Under the provisions set forth in section 33, designated individuals may implement simplified due diligence measures when a business relationship or transaction is assessed as posing a lower risk of money laundering or terrorist financing. This assessment must be grounded in a thorough business risk evaluation that confirms the lower risk categorisation.

In determining areas of lower risk, designated persons should consider specified factors, maintain adequate records of their assessments, and ensure ongoing monitoring of transactions. The Minister is also empowered to identify additional factors that may indicate a lower risk, enhancing the regulatory framework for risk-based compliance strategies.