Regulatory Alerts2019-01-01
Circular No. (249) of 2019 Regarding the Risks of New Services and Products
The Palestine Monetary Authority issued Circular No. 249 of 2019 mandating all operating banks to strictly identify, assess, and mitigate money laundering and terrorist financing risks associated with new financial products, services, or technologies prior to launch. The directive requires banks to implement robust internal controls aligned with FATF Recommendation 15 and fully comply with PMA Instructions No. 1 of 2017 regarding financial products. Banks must additionally submit documented evidence of compliance with these risk management measures to the Authority.
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 to maintain financial stability, limit the risks of money laundering and terrorist financing in financial and banking services and products, and align 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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Establish 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
Tel: +970 2 2415251 | Fax: +970 2 2415310 | info@pma.ps
Gaza - Palestine P.O. Box 4026
Gaza - Palestine P.O. Box 4026
Tel: +970 8 2825713 | Fax: +970 8 2844487