Featured Product

    SARB Issues Guidelines for Effective AML/CFT Controls for Cryptoassets

    August 16, 2022

    The South African Reserve Bank (SARB) published the supervisory guidelines for matters related to the prevention of banks or controlling companies being used for any money laundering, terrorist financing, or other unlawful activity. The guidelines are intended to inform banks and controlling companies about practices for effective implementation of adequate anti-money laundering and counter-financing of terrorism (AML/CFT) controls in relation to crypto assets and crypto asset service providers.

    Regulation 36 (17) of the Regulations for Banks (the Regulations) requires that every bank and controlling company shall have in place board approved policies and comprehensive risk-management processes and procedures with for keeping in check the AML/CFT activities with respect to crypto-assets and related service providers. These policies, processes, and procedures include comprehensive and robust know-your-customer standards that include robust customer identification, verification, and acceptance requirements throughout the banking group, contribute to the safety and soundness of the reporting bank or controlling company, and prevent the bank or controlling company from being used for any money laundering or other unlawful activity.

    Further to this, Regulations 36(17)(b)(ii), 47, and 50 impose high-level requirements for banks’ corporate governance, risk management, internal controls, policies, processes, and procedures to ensure ongoing compliance with best practices on matters such as AML/CFT, reportable offences and to guard against the bank being used for purposes of financial crimes, such as financing of terrorist activities and money laundering. Regulation 38(4) of the Regulations for Banks sets out that when the Prudential Authority is of the opinion that a bank’s policies, processes, and procedures relating to its risk assessment are inadequate or its internal control systems are inadequate, the Prudential Authority may, among other things, require the bank to strengthen its risk management policies, processes or procedures, or to strengthen the internal control systems of a bank. The Guidance Note seeks to provide guidelines on certain aspects linked to the treatment of crypto-assets and crypto-asset service providers, based on the application of a thorough risk-based approach.

     

    Related Links

     

    Keywords: Middle East And Africa, South Africa, Banking, AML CFT, Regtech, ML TF Risk, Crypto-Assets, Internal Controls, Governance, SARB

    Related Articles
    News

    EBA Proposes Standards for IRRBB Reporting Under Basel Framework

    The European Banking Authority (EBA) proposed implementing technical standards on the interest rate risk in the banking book (IRRBB) reporting requirements, with the comment period ending on May 02, 2023.

    January 31, 2023 WebPage Regulatory News
    News

    FED Issues Further Details on Pilot Climate Scenario Analysis Exercise

    The U.S. Federal Reserve Board (FED) set out details of the pilot climate scenario analysis exercise to be conducted among the six largest U.S. bank holding companies.

    January 17, 2023 WebPage Regulatory News
    News

    US Agencies Issue Several Regulatory and Reporting Updates

    The Board of Governors of the Federal Reserve System (FED) adopted the final rule on Adjustable Interest Rate (LIBOR) Act.

    January 04, 2023 WebPage Regulatory News
    News

    ECB Issues Multiple Reports and Regulatory Updates for Banks

    The European Central Bank (ECB) published an updated list of supervised entities, a report on the supervision of less significant institutions (LSIs), a statement on macro-prudential policy.

    January 01, 2023 WebPage Regulatory News
    News

    HKMA Keeps List of D-SIBs Unchanged, Makes Other Announcements

    The Hong Kong Monetary Authority (HKMA) published a circular on the prudential treatment of crypto-asset exposures, an update on the status of transition to new interest rate benchmarks.

    December 30, 2022 WebPage Regulatory News
    News

    EU Issues FAQs on Taxonomy Regulation, Rules Under CRD, FICOD and SFDR

    The European Commission (EC) adopted the standards addressing supervisory reporting of risk concentrations and intra-group transactions, benchmarking of internal approaches, and authorization of credit institutions.

    December 29, 2022 WebPage Regulatory News
    News

    CBIRC Revises Measures on Corporate Governance Supervision

    The China Banking and Insurance Regulatory Commission (CBIRC) issued rules to manage the risk of off-balance sheet business of commercial banks and rules on corporate governance of financial institutions.

    December 29, 2022 WebPage Regulatory News
    News

    HKMA Publications Address Sustainability Issues in Financial Sector

    The Hong Kong Monetary Authority (HKMA) made announcements to address sustainability issues in the financial sector.

    December 23, 2022 WebPage Regulatory News
    News

    EBA Updates Address Basel and NPL Requirements for Banks

    The European Banking Authority (EBA) published regulatory standards on identification of a group of connected clients (GCC) as well as updated the lists of identified financial conglomerates.

    December 22, 2022 WebPage Regulatory News
    News

    ESMA Publishes 2022 ESEF XBRL Taxonomy and Conformance Suite

    The General Board of the European Systemic Risk Board (ESRB), at its December meeting, issued an updated risk assessment via the quarterly risk dashboard and held discussions on key policy priorities to address the systemic risks in the European Union.

    December 22, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 8699