Regulatory Alerts2019-01-01
Circular No. 249: Risks of New Services and Products
The Palestine Monetary Authority issued Circular No. 249/2019 mandating all Palestinian banks to identify, assess, and mitigate money laundering and terrorist financing risks linked to new financial products, services, or technologies prior to market launch. Banks must establish and implement necessary controls to manage these risks while strictly adhering to PMA Instructions No. 1 of 2017 concerning financial and banking products. Institutions are required to submit compliance evidence to the Authority to verify execution of these risk assessment and mitigation obligations.
Palestine Monetary Authority
PALESTINE MONETARY AUTHORITY
Circular No. (249/2019)
To all banks operating in Palestine
Date: Monday, October 28, 2019
Subject: Risks of New Services and Products
In order for the Palestine Monetary Authority to maintain financial stability, and to mitigate the risks of money laundering and terrorist financing in financial and banking services and products, and in alignment with the requirements of Recommendation (15) of the Financial Action Task Force (FATF) regarding new technologies, we emphasize the strict compliance with the following:
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Identify and assess 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 and banking product or service and/or using new technologies or modifying and developing existing products and services.
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Work on establishing the necessary controls and measures to manage and mitigate those risks.
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Strictly comply with the provisions of Instructions No. (1) of 2017 regarding financial and banking products, and provide the Palestine Monetary Authority with evidence of compliance with the aforementioned items.
Supervision and Inspection Department
Palestine Monetary Authority
Ramallah & Al-Bireh Governorate - Palestine P.O. Box 452
Ramallah & Al-Bireh Governorate - Palestine P.O. Box 452
info@pma.ps | Fax: +970 2 2415310 | Phone: +970 2 2415251 | Tel: +970 2 2415251
Gaza - Palestine P.O. Box 4026
Gaza - Palestine P.O. Box 4026
Fax: +970 8 2844487 | Phone: +970 8 2825713 | Tel: +970 8 2825713