With the aim of mitigating the risks as well an effectively implementing AML/CFT obligation, new guidelines were released that require all licensed banks and financial institutions to perform appropriate customer due diligence and report any suspected behavior linked to money laundering, financing of terrorism, or a criminal offense directly to the UAE’s Financial Intelligence Unit using goAM portal.

The UAE Central Bank on Tuesday has issued new guidelines for banks and financial institutions which provide services to companies in the real estate and precious metals and stones sectors

The regulator stressed that licensed financial institutions (LFIs) providing services to real estate and precious metals and stones sectors should specifically assess the associated money laundering and terrorist financing risks and develop an effective AML/CFT program that encompasses a competent compliance officer and provides training for LFIs’ employees on said risks.

It is important to note that the UAE Ministry of Economy, which issues the relevant guidance, supervises real estate agents, brokers, and dealers in precious metals and stones who are qualified as designated non-financial businesses and professions.

“A critical part of UAE Central Bank’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. This guidance serves as a key point of reference for those providing services to real estate and precious metals and stones sectors and is set to further increase the efficacy of licensed financial institutions in contributing to the stringent national efforts in the field of AML/CFT,” said Khaled Mohamed Balama.                                                                                                                                                     (Source:www.khaleejtimes.com)