Armenian Banks Comply with International Anti-Money Laundering and Combating the Financing of Terrorism Regulations
Compliance with International Standards
The Central Bank of Armenia (CBA) has reaffirmed its commitment to ensuring that local banks comply with international regulations aimed at preventing money laundering and combating the financing of terrorism. Armenian banks are required to conduct due diligence on transactions and business relationships to identify potential risks.
Key Compliance Requirements
- Conduct due diligence on transactions and business relationships to identify potential risks
- Report transactions subject to mandatory reporting
- Suspend or terminate business relationships if necessary
- Freeze assets owned or controlled by individuals or entities linked to terrorism or weapons of mass destruction
Protecting Depositors’ Funds
The CBA emphasizes the importance of protecting depositors’ funds through the Deposit Guarantee Fund of Armenia (the “Fund”). The Fund provides compensation to depositors in the event of a bank’s insolvency or bankruptcy, with coverage limits ranging from AMD7 million to AMD16 million depending on the type of deposit and currency.
Key Features of the Deposit Guarantee Fund
- Provides compensation to depositors in the event of a bank’s insolvency or bankruptcy
- Coverage limits range from AMD7 million to AMD16 million depending on the type of deposit and currency
Maintaining Bank Secrecy
The CBA highlights the importance of maintaining bank secrecy, prohibiting the disclosure of customer information without their consent. However, there are exceptions when disclosure is allowed, such as in cases where a customer provides explicit consent or when required by law enforcement agencies.
Key Principles of Bank Secrecy
- Maintain bank secrecy and prohibit the disclosure of customer information without consent
- Exceptions include cases where a customer provides explicit consent or when required by law enforcement agencies
Enhancing Supervisory Powers
The CBA has announced plans to strengthen its supervisory powers and enhance cooperation with other regulatory bodies to address emerging risks in the financial sector.
Key Initiatives for Enhancing Supervisory Powers
- Strengthening supervisory powers
- Enhancing cooperation with other regulatory bodies
For More Information
For more information on Armenia’s anti-money laundering and combating the financing of terrorism regulations, please contact the Central Bank of Armenia or visit their website.