Regulatory Alerts2025-10-03
Guidance Note on Simplified Due Diligence Measures for Customers (2025)
Issued by the Non-Bank Financial Institutions Regulatory Authority (NBFIRA), this 2025 guidance mandates that licensed non-bank financial institutions apply a risk-based approach to implement simplified customer due diligence for low-risk relationships. Institutions must document their institutional and customer risk assessments to justify applying reduced identification, verification, and monitoring requirements for specific clients or transactions, while explicitly excluding high-risk or complex cases. The framework ensures proportional compliance and financial inclusion by allowing flexible, ongoing monitoring without exempting entities from core anti-money laundering controls.
Share