Sudanese Banks Step Up Efforts to Combat Money Laundering and Terrorist Financing
In a bid to curb the spread of money laundering and terrorist financing, Bank of Khartoum has announced its full commitment to complying with international standards and guidelines on anti-money laundering (AML) and combating the financing of terrorism (CFT).
Comprehensive AML/CFT Program
The bank’s AML/CFT program is designed to ensure that it remains in line with Central Bank of Sudan (CBOS) regulations and industry best practices. The program consists of several key components, including:
- Policies and procedures
- Risk assessment
- Customer acceptance policy
- Know-your-customer (KYC) and due diligence
- Transaction monitoring
- Suspicious transaction reporting
- Staff competent education and training program
- Record keeping
AML/CFT Manual
The bank’s AML/CFT manual has been approved by the board of directors and outlines the roles and responsibilities of various units in implementing the program. The bank’s management is responsible for ensuring day-to-day compliance with anti-money laundering obligations, while the head of compliance ensures that the bank has a robust system for identifying and managing regulatory requirements.
Internal Audits
The bank conducts regular internal audits to ensure that all employees are following its policies and procedures regarding AML/CFT operations and assessing compliance, adequacy of controls and systems, and adherence to policies and procedures.
Risk Assessment
The bank has developed an internal approach based on Central Bank of Sudan (CBO S) regulations and FATF recommendations. This involves evaluating the adequacy of existing controls and identifying high-risk areas that require additional controls.
Customer Acceptance Policy
The bank’s customer acceptance policy is designed to ensure that only identifiable customers who meet specific criteria are accepted as customers. The bank also has KYC and due diligence procedures, which involve verifying the source of funds, nature of business, and categorizing customers based on perceived risk.
Transaction Monitoring
Transaction monitoring involves automated screening for unusual and potential suspicious activities, including funds transfer locally or internationally, as well as screening against local and international sanctions lists. The bank also has a legal obligation to report any suspicious transactions and not to tip off suspected launderers.
Staff Education and Training
The bank’s staff education and training program is designed to ensure that all employees are aware of its AML/CFT policies and procedures, as well as local legal requirements to combat money laundering. Specific training is provided on the recognition and handling of suspicious transactions.
Record Keeping
Finally, the bank keeps records of customer identifications, transactions, risk assessment documents, suspicious transaction reports, and training records for at least five years from the transaction date.
Commitment to Combating Money Laundering and Terrorist Financing
By implementing these measures, Bank of Khartoum is demonstrating its commitment to combating money laundering and terrorist financing, while also ensuring compliance with international standards and guidelines.