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Jordan’s Anti-Money Laundering and Know-Your-Customer Regulations: A Guide

In the Kingdom of Jordan, financial institutions and businesses are required to adhere to strict anti-money laundering (AML) and know-your-customer (KYC) regulations. These regulations aim to prevent money laundering and terrorist financing activities by verifying the identity of customers and monitoring their transactions.

Identity Verification

Shufti Pro, a leading identity verification provider, offers specialized services to verify the authenticity of documents submitted by end-users. The company uses advanced document verification technology to check for security features such as:

  • Holograms
  • Tapered edges
  • Doctored elements
  • Form inconsistencies
  • Document expiration
  • MRZ (Machine Readable Zone)
  • Reflected colors
  • Microprinting

Required Documents

In Jordan, the following documents are considered proof of identity:

  • Valid passport
  • Current driving license
  • National Identity Card

For address verification, the following documents are accepted:

  • Current utility bill (gas, electricity, telephone, or mobile phone)
  • Document issued by a government department showing the end-user’s address
  • Bank statement (no older than 3 months) showing the end-user’s address

Timing of Verification

Identity verification is not a one-time process. It is required in multiple instances as per regulations, and the timing depends on the client’s requirements and conveyance to Shufti Pro.

Politically Exposed Persons and Enhanced Due Diligence Measures

Under Jordanian regulations, financial institutions are required to determine if customers are Politically Exposed Persons (PEPs) or exhibit a higher risk profile. Shufti Pro provides AML Screening services that screen an individual’s ID attributes against watchlists of global regulatory authorities, foreign and domestic databases, compromised PEPs, and sanctioned individuals.

Reliance on External Services

In the absence of explicit regulations, clients may seek the services of a third party to fulfill AML/KYC obligations. However, the client remains liable for maintaining regulatory compliance and fulfilling AML and KYC obligations.

Record Retention

Jordanian regulations require financial institutions to retain data for at least five years as part of their AML and KYC obligations for due diligence purposes. In cases where information is processed, collected, and managed by a relevant third party, the client is liable to collect all necessary information (Due Diligence Data) without undue delay.

By adhering to these regulations, financial institutions and businesses in Jordan can ensure compliance with international standards and prevent money laundering and terrorist financing activities.