Regulatory Alerts2019-01-01
Circular No. 256/2019: Risks of New Services and Products
The Palestine Monetary Authority issued Circular No. 256/2019 requiring all specialized lending institutions in Palestine to fully identify, assess, and mitigate money laundering and terrorist financing risks associated with new or modified financial services, products, and technologies prior to launch. Institutions must implement appropriate controls to manage these risks and ensure strict compliance with Financial Action Task Force Recommendation 15 and PMA Instruction No. 1 of 2017. Furthermore, regulated entities are mandated to report proof of compliance with these risk management obligations directly to the Authority.
Palestine Monetary Authority
PALESTINE MONETARY AUTHORITY
Circular No. (256 / 2019) To all specialized lending institutions in Palestine Date: Monday, October 28, 2019
Subject: Risks of New Services and Products
With the Palestine Monetary Authority's commitment to maintaining financial stability, and aiming to mitigate money laundering and terrorist financing risks in financial services and products, and in alignment with the requirements of Recommendation (15) of the Financial Action Task Force recommendations concerning new technologies, we emphasize the necessity of full 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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Fully complying with the provisions of Instructions No. (1) of 2017 concerning financial and banking products, and providing the Palestine Monetary Authority with evidence of compliance with 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 | Fax | Tel: +970 2 2415251 | Tel Gaza - Palestine P.O. Box 4026 Fax: +970 8 2844487 | Fax | Tel: +970 8 2825713 | Tel www.pma.ps