The Central Bank of the UAE (CBUAE) has issued a new guidance on anti-money laundering and combating the financing of terrorism for its licensed nstitutions that provide services to the real estate and precious metals and stones sectors.
The guidance, which came into effect on June 20, will assist the understanding and mitigation of risks, the central bank said in a statement carried by the official WAM news agency.
The guidance also takes into account the standards issued by Financial Action Task Force (FATF).
Licensed financial institutions are required to perform appropriate customer due diligence and report any behaviur that they reasonably suspect may be linked to money laundering, financing of terrorism or a criminal offense by submitting suspicious activity reports directly to the UAE’s Financial Intelligence Unit.
“A critical part of CBUAE’s mandate is to ensure that all licensed financial institutions have a deep comprehension of their role in mitigating and addressing the risk of illicit activities in the UAE’s financial system,” said UAE Central Bank Governor Khaled Mohamed Balama.”
Institutions providing services to the real estate and precious metals and stones sectors specifically should assess the associated money laundering and terrorist financing risks and develop an effective program that encompasses a competent compliance officer.
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