Banks Must Take Lead in Detecting, Preventing Financial Crime: Experts
Boosting Pakistan’s Global Reputation through Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT)
The Securities and Exchange Commission of Pakistan (SECP) has launched a nationwide virtual campaign to raise awareness about AML/CFT and enhance the country’s financial system. The initiative, supported by the United Nations Office on Drugs and Crime (UNODC), aims to educate professionals from the regulated financial sector about their statutory obligations under existing legal and regulatory frameworks.
Key Topics Covered
- Risk-Based Approach
- Transparency of Beneficial Ownership
- Proliferation Financing
- Terrorism Financing
- Targeted Financial Sanctions
- Weapons of Mass Destruction
Experts emphasized the importance of adopting a Risk-Based Approach to detect and prevent financial crime, highlighting the need for regulated entities to tailor their compliance efforts to specific contexts. The sessions also focused on the significance of transparency and availability of beneficial ownership information, with updates provided on recent changes to Pakistan’s Companies Act and Limited Liability Partnership Act.
Measuring Learning Levels
An online survey was conducted during the sessions to measure participants’ learning levels, which reportedly led to enhanced understanding among SECP officials about the challenges faced by reporting sectors. The initiative is part of the overall SECP AML/CFT capacity building program supported by the UNODC’s AML Support Programme with funding from the British High Commission.
Industry Experts Stress Proactive Approach
Industry experts stress that banks and financial institutions play a crucial role in detecting and preventing financial crime, and must take a proactive approach to ensure compliance with regulatory requirements. The campaign serves as a reminder of the importance of ongoing training and awareness programs to stay ahead of evolving threats and maintain international standards.
Conclusion
In conclusion, the SECP’s nationwide virtual campaign highlights the importance of AML/CFT in enhancing Pakistan’s financial system and global reputation. Experts emphasize that banks and financial institutions must take a proactive approach to detect and prevent financial crime, and adopt a Risk-Based Approach to stay ahead of evolving threats.