Regulatory Alerts2016-01-01
Instructions No. 5 of 2016 Regarding Reporting of Remittance Transactions - Banks
The National Committee for Combating Money Laundering and Financing of Terrorism issued Instructions No. 5 of 2016 to mandate daily reporting of all incoming and outgoing remittance transactions to and from Palestine by all licensed Palestinian banks. The directive requires financial institutions to submit comprehensive transaction data to the Financial Monitoring Unit for any remittance equal to or exceeding 500 US dollars or its equivalent in other currencies, regardless of whether the transaction is processed directly by the bank or through a sub-agent. These reporting obligations supplement existing anti-money laundering and counter-terrorist financing procedures established under Instructions No. 2 of 2016 and take effect upon publication in the Official Gazette.
Diwan Al-Fatwa and Legislation 63 Reference No. 128-1-2017: No. 128 2017/1/14 Instructions No. (5) of 2016 Regarding Reporting of Remittance Transactions National Committee for Combating Money Laundering and Financing of Terrorism, Based on the provisions of Legislative Decree No. (20) of 2015, concerning the combating of money laundering and financing of terrorism and its amendments, particularly the provisions of Articles (20/14) and (23/3) thereof, and based on the powers delegated to us, and in pursuit of the public interest, we have issued the following Instructions: Article (1) Definitions The words and phrases contained in these Instructions shall have the meanings specified below, unless the context indicates otherwise:
- Remittance Transaction: An outgoing or incoming remittance executed at any of the principal or sub-agents of any remittance company.
- The definitions contained in Legislative Decree No. (20) of 2015, concerning the combating of money laundering and financing of terrorism and its amendments, shall apply wherever they appear in these Instructions. Article (2) Scope of Application The provisions of these Instructions shall apply to all banks operating in the State of Palestine and licensed to operate by the Palestinian Monetary Authority. Article (3) Reporting In addition to the procedures and obligations imposed on banks stipulated in Instructions No. (2) of 2016, concerning the combating of money laundering and financing of terrorism for banks, banks are obligated to provide the Financial Monitoring Unit with daily reports on all incoming or outgoing remittance transactions to and from Palestine, which equal or exceed the value of (500) US dollars or its equivalent in other currencies, including all remittance data, whether the remittance is executed through the bank itself or through a sub-agent appointed by the bank to any financial or banking entity. Article (4) Entry into Force All competent authorities shall, each within their respective jurisdiction, implement the provisions of these Instructions, which shall take effect from the date of their publication in the Official Gazette. Issued in the city of Ramallah on: 2016/12/01 Gregorian Corresponding to: 02/Rabi' al-Awwal 1438 / Hijri National Committee for Combating Money Laundering and Financing of Terrorism