Instructions for Banks Conducting Business via Electronic Means No. (8/2001) dated 26-7-2001

In the Name of Allah, the Most Gracious, the Most Merciful Model (1/1/1/1)

Number: 12630 / 10
Date: 6 / T / 1422 AH
Corresponding Date: 2001 / 7 / 26 AD

Instructions for Banks Conducting Business via Electronic Means.
No. (8 / 2001).

Issued pursuant to the provisions of Article (99/b) of Banking Law No. (28) of the year 2000.

With the Central Bank's keen interest in the safety of financial and banking transactions executed by banks via electronic means and the security of their information systems, and to guarantee the rights of counterparties, banks must comply with the following provisions:

• Article One:
  Compliance with applicable legislation, adherence to banking customs, and implementation of necessary precautionary procedures when conducting all or part of their "licensed" business via electronic means such as the Internet, telephones, electronic cards, and other modern electronic means.

• Article Two:
  (a) A bank wishing to conduct any of its business via electronic means must observe the following:
  (1) Study, evaluate, and determine all business intended to be conducted via electronic means, application systems, necessary protection systems, their costs, risks, prevention means, and implementation stages and mechanisms. (2) Include the business the bank wishes to conduct via electronic means in the bank's strategy approved by the Board of Directors. (b) Notify the Central Bank of the provision of the requirements mentioned in paragraph (a) of this Article.

• Article Three:
  A bank conducting any of its business via electronic means must comply with the following:
  (a) Provide qualified technical staff to undertake the management and execution of such business.
  (b) Establish necessary instructions, standards, and procedures to regulate executed business and required security and protection measures, and apply, monitor, and develop them. (c) Provide necessary application systems including hardware, software, and connection networks, along with appropriate protection systems, along with their license documents, inspection, and verification. (d) Fulfill necessary technical requirements for executing such business, such as website registration, electronic authentication, documentation, encryption, etc.

• Article Four:
  (a) Periodically review systems, counters, networks, protection methods, and procedures followed in executing operations within a clear policy to ensure their safety, improve performance, and continuously update them through qualified technical staff. (b) Develop contingency and recovery plans detailing all possible procedures and alternatives, and review them periodically.

• Article Five:
  The necessity of defining and stating the responsibilities resulting from executing business via electronic means, with the bank observing the principle of dual control regarding its role in these operations.

• Article Six:
  (a) The necessity of regulating the contractual relationship between the bank and the client, including a clear and balanced statement of each party's responsibilities, and determining transaction limits appropriate to the type of service, the client's credit status, and the volume of their risks. (b) Adherence to transparency, client awareness, and informing them of the nature of operations executed via electronic means, their risks, and the obligations they impose, and placing clear guidelines and instructions regarding them.

• Article Seven:
  The necessity of regulating agreements concluded between the bank and any service provider, supplier, or supporting company in a manner that does not conflict with banking secrecy provisions and ensures the security of systems and information.

• Article Eight:
  Insuring risks of operations executed via electronic means, such as data and systems, and any other operations the bank or the Central Bank deems important to insure.

• Article Nine:
  (a) Subject operations executed via electronic means to audit, supervision, and internal review, according to a policy based on necessary laws, instructions, and precautionary procedures. (b) Provide necessary periodic supervisory reports, evaluate them, and monitor them.

• Article Ten:
  The bank is directly responsible for any equipment, systems, contracts, or services provided by a third party to it regarding the execution of its operations via electronic means.

Jordan Central Bank
Banking Supervision Department

Bank Name:

Statement of Services Provided by the Bank to Its Clients via Electronic Means and Agreed Upon via Electronic Networks During the Period from / / to / /

Service Type	Number of Customers Subscribed to the Service	Number of Executed Transactions	Amounts of Executed Transactions Resulting in Payments, Receipts, or Transfers (in Dinars)
-1
-2
-3
-4
-5
-6
-7
-8
-9
-10
-11
-12
-13

The data contained in this statement is used for Central Bank purposes, and all its contents are subject to strict confidentiality.
The Central Bank is provided with this data along with audited annual and semi-annual accounts.
Number and Amount of Transactions: Statistics showing the number and amounts of transactions executed for a specific service during a six-month period (from 1/1 - 30/6 or from 1/7 - 31/12).

Shaqir /