HKMA Updates Guide on Enhanced Competency Framework for AML/CFT
HKMA updated the guide to the enhanced competency framework on anti-money laundering and counter-financing of terrorism (AML/CFT), which provides details of the application of this framework. The HKMA circular announced that the professional level of the enhanced competency framework on AML/CFT will launch on April 03, 2018. The enhanced competency framework on AML/CFT sets out the competency standards for AML/CFT practitioners in the Hong Kong banking industry.
As the Supervisory Policy Manual module CG-6 on “Competence and Ethnical Behavior” emphasizes the importance of ensuring continuing competence of staff members, authorized institutions are encouraged to adopt the enhanced competency framework on AML/CFT as a benchmark for enhancing the level of professional competence of banking practitioners responsible for AML/CFT compliance roles. Apart from supporting the staff to attend training and examination that meet the enhanced competency framework benchmark, authorized institutions are also advised to keep records of the relevant training and qualification of their staff and to provide them with necessary assistance in relation to applications for grandfathering, exemption and certification, and fulfillment of ongoing continuing professional development training under the framework.
In its supervisory process, HKMA will take into account the progress of implementation of the enhanced competency framework on AML/CFT by authorized institutions and their effort in enhancing staff competence and ongoing development. The Hong Kong Institute of Bankers (HKIB) is the administrator of the competency framework on AML/CFT, whose major roles in this respect include administering the competency program and examinations, handling certification, exemption and grandfathering applications, and maintaining a public register of qualified certification holders.
Keywords: Asia Pacific, Hong Kong, Banking, AML/CFT, Enhanced Competency Framework, Guide, HKMA
Related Articles
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.
BIS Bulletin Examines Cognitive Limits of Large Language Models
The use cases of generative AI in the banking sector are evolving fast, with many institutions adopting the technology to enhance customer service and operational efficiency.
ECB is Conducting First Cyber Risk Stress Test for Banks
As part of the increasing regulatory focus on operational resilience, cyber risk stress testing is also becoming a crucial aspect of ensuring bank resilience in the face of cyber threats.
EBA Continues Momentum Toward Strengthening Prudential Rules for Banks
A few years down the road from the last global financial crisis, regulators are still issuing rules and monitoring banks to ensure that they comply with the regulations.
EU and UK Agencies Issue Updates on Final Basel III Rules
The European Commission (EC) recently issued an update informing that the European Council and the Parliament have endorsed the Banking Package implementing the final elements of Basel III standards