Regulatory Alerts2025-04-21
Regulation on Customer Due Diligence During Wire Transfers
The Central Bank of the Republic of Azerbaijan mandates that financial institutions implement comprehensive customer due diligence measures and standardized data transmission protocols for all domestic and cross-border wire transfers. Ordering, intermediary, and beneficiary financial institutions must verify originator and beneficiary identities, ensure information integrity across the transaction chain, and apply risk-based policies to reject or suspend transfers lacking required data. The regulation establishes clear identification thresholds, outlines rigorous due diligence procedures for establishing and maintaining business relations with foreign financial institutions, and aligns wire transfer operations with national anti-money laundering and targeted sanctions laws.