Financial Crime World

Financial Institutions Play Crucial Role in Preventing Financial Crime in Pakistan

Pakistan has made significant progress in enhancing the confidence level of the global community on its financial system by strengthening its anti-money laundering and combating financing of terrorism (AML/CFT) regime. To further strengthen this effort, the Securities and Exchange Commission of Pakistan (SECP) has launched a nationwide virtual campaign to enhance awareness about AML/CFT systems and controls.

Building Capacity in the Regulated Sector

In collaboration with the United Nations Office on Drugs and Crime (UNODC), the SECP is working to build capacity in the regulated non-banking financial sector and entities to detect, prevent, and deter financial crime. The virtual campaign has reached over 500 professionals from:

  • Securities
  • Commodities markets
  • Insurance/Takaful companies
  • Non-banking finance companies
  • Modaraba sector

Industry-Specific Information

The webinar series targeted industry-specific information on topics such as:

  • Risk-based approach
  • Transparency of beneficial ownership
  • Proliferation financing
  • Weapons of mass destruction
  • Terrorism financing
  • Targeted financial sanctions
  • Process to be followed by SECP-regulated entities

International experience in AML/CFT was shared to further sensitize participants on identifying and combating money laundering and terrorist financing risks.

The sessions also covered the need for addressing legal and regulatory developments related to transparency and availability of beneficial ownership information. Participants were informed about changes to:

  • Companies Act
  • Limited Liability Partnership (LLP) Act

to facilitate identification of beneficial owners by customers.

Online Survey Results

An online survey was conducted to measure participants’ learning levels, which has resulted in enhancing understanding of SECP’s challenges faced by reporting sectors. The campaign underscores the need for continuous engagement through training toolkits and guidelines with enhanced standards of supervision and inspection.

Support from UNODC’s AML Support Programme

The virtual awareness campaign is part of the overall SECP AML/CFT capacity building program supported by UNODC’s AML Support Programme, which received financial support from the British High Commission.