Regulatory Alerts2025-01-01
Instructions No. 2 of 2025 Regarding the Anti-Money Laundering and Counter-Terrorist Financing Function
The Palestine Monetary Authority issued Instructions No. 2 of 2025 to mandate that all licensed banks establish an independent Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) function at the senior management level, reporting directly to the Board or Compliance Committee. The directive requires banks to implement risk-based policies, automated monitoring systems, strict employee account controls, and comprehensive training programs while ensuring the designated AML/CFT Officer possesses specific qualifications and operational independence. Furthermore, the instructions repeal previous AML/CFT directives, impose a three-month compliance deadline, and hold board members and senior management fully accountable for regulatory adherence and internal audit effectiveness.