Regulatory Alerts2025-01-01
Circular No. 16 (2025) – High-Risk Countries and Enhanced Follow-Up Countries
The Palestine Monetary Authority’s Financial Follow-Up Unit issued Circular No. 16 (2025) to mandate payment service companies and specified non-financial businesses to implement enhanced due diligence, targeted financial sanctions, and risk-based supervision for countries on the FATF Black List (North Korea, Iran, Myanmar) and Grey List (24 countries including Bolivia and the British Virgin Islands). The circular requires institutions to align their AML/CFT self-assessments with identified systemic deficiencies, apply proportionate countermeasures such as restricting correspondent banking and third-party reliance, and ensure uninterrupted humanitarian fund flows to Myanmar. Compliance is enforced through strengthened internal reporting mechanisms, immediate suspicious transaction notifications, and adherence to the updated national action plans detailed in the attached evaluation reports.