Regulatory Alerts2019-01-01
Record Keeping Requirements for Microfinance Service Providers Directive, 2019
Issued by the Registrar of Financial Institutions under Malawi's Financial Services Act, this Directive mandates microcredit agencies and microfinance institutions to implement comprehensive record-keeping policies and maintain reconstructible customer accounts, contracts, transactions, and correspondence. Entities must store records electronically or in print, ensure robust backup and risk-mitigation procedures, retain all documentation for a minimum of seven years, classify dormant accounts according to statutory timelines, and comply with anti-money laundering verification requirements. The Registrar retains unannounced inspection authority and may levy monetary penalties of up to fifty million Kwacha for institutions and ten million Kwacha for board or management members upon confirmed violations.