Financial Crime World

Financial Institutions Urged to Step Up Due Diligence in Jamaica

The Financial Services Commission (FSC) has issued revised guidelines on customer due diligence (CDD) and “Know Your Customer” (KYC) requirements for financial institutions in Jamaica, aimed at strengthening anti-money laundering and combating the financing of terrorism (AML/CFT) measures.

Amendments to Enhance Flexibility and Compliance

The amendments aim to provide greater flexibility for licensees and registrants while ensuring that the validation of identity satisfies legislative requirements. The revised guidelines also seek to alleviate concerns expressed by regulated entities and their customers regarding the verification of customer addresses.

The FSC has widened the range of recommended address verifiers that can be utilized by financial institutions, allowing them more flexibility in meeting this requirement.

Alternative Identification Forms and Methods

The commission has also provided guidance on alternative identification forms and methods for verifying addresses.

Responsibilities of Financial Institutions

Financial institutions are reminded that it is their responsibility to ensure that their systems for establishing the identity of customers are credible, effective, and compliant with AML/CFT regulations, as well as their own risk profiles and internal controls.

Compliance Requirements

The revised guidelines come into effect in 2019 and will be reflected in the FSC’s AML/CFT regime. Financial institutions are urged to familiarize themselves with the new requirements and ensure that they comply with the revised guidelines to maintain a robust and effective AML/CFT framework.

Contact Information

For further information, contact the Offices of the Financial Services Commission at: