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Financial Institutions in Aruba Look to Compliance Management Systems for AML/CT Guidance
Financial institutions in Aruba are turning to compliance management systems to ensure they meet Anti-Money Laundering (AML) and Combating Financing of Terrorism (CFT) requirements. As part of this effort, industry players are seeking expert guidance on business risk assessments, customer risk assessments, AML/CFT frameworks, strategies, policies, procedures, and more.
Regulatory Guidelines
According to regulatory guidelines, financial institutions must conduct a thorough Business Risk Assessment to identify potential risks and develop strategies to mitigate them. This includes assessing:
- Corporate structure
- Service delivery channels
- Client relationships
- Transaction types
Customer Risk Assessments
To ensure compliance, institutions are also undergoing Customer Risk Assessments, which involve ranking clients as low, medium, or high-risk based on factors such as:
- Type of client
- Transaction history
- Relationship with non-qualified AML/CFT countries
Designing and Implementing Effective AML/CFT Frameworks
In addition to these assessments, financial institutions are seeking guidance on designing and implementing effective AML/CFT frameworks that meet statutory requirements. This includes:
- Conducting gap analyses to identify areas for improvement
- Developing comprehensive policies and procedures
Compliance Management Systems Providers
To support this effort, compliance management systems providers are offering a range of services, including:
- Risk-based approach customer due diligence
- AML/CFT functional monitoring
- Training programs
- Remedial services
“We understand the importance of staying compliant with AML/CFT regulations,” said Shelby Maduro, Director Advisory at AW. “That’s why we’re committed to providing expert guidance and support to financial institutions in Aruba.”
Contact Information
For more information on compliance management systems for financial institutions in Aruba, contact AW at: