Regulatory Alerts2019-01-01
Circular No. 251/2019: Risks of New Services and Products
The Palestine Monetary Authority issued Circular No. 251/2019 to mandate that all banks operating in Palestine identify and assess all risks, including money laundering and terrorist financing, linked to new financial services, products, or technologies before launch or modification. The directive requires institutions to establish appropriate controls and mitigation measures for these risks while strictly adhering to Instructions No. (1) of 2017 concerning financial and banking products. Additionally, banks must report to the Authority to facilitate compliance with these risk management protocols in alignment with FATF Recommendation 15 on emerging technologies.
Palestine Monetary Authority
PALESTINE MONETARY AUTHORITY
Circular No. (251/2019)
To All Banks Operating in Palestine
Date: Monday, October 28, 2019
Subject: Risks of New Services and Products
In order to maintain financial stability, reduce the risks of money laundering and terrorist financing in financial services and products, and align with the requirements of Recommendation 15 of the Financial Action Task Force (FATF) regarding new technologies, we emphasize the necessity of:
Strict Compliance with the Following:
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Identifying and assessing all risks associated with the new service, product, or technology, including money laundering and terrorist financing risks, prior to launching or introducing any new financial product or service and/or utilizing new technologies or modifying and developing existing products and services.
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Establishing the necessary controls and measures to manage and mitigate those risks.
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Strictly complying with the provisions of Instructions No. (1) of 2017 regarding financial and banking products, and reporting to the Palestine Monetary Authority to facilitate the implementation of the aforementioned items.
Supervision and Inspection Department
Palestine Monetary Authority
Ramallah and Al-Bireh Governorate - Palestine P.O. Box 452
info@pma.ps | Fax: +970 2 2415310 | Tel: +970 2 2415251
Gaza - Palestine P.O. Box 4026
Fax: +970 8 2844487 | Fax | Tel: +970 8 2825713