Financial Crime World

Banking Industry Standards for Compliance in Afghanistan Take Center Stage at FMFB-A

The First MicroFinance Bank of Afghanistan (FMFB-A) has made compliance with regulatory, internal guidelines, and international standards a top priority to ensure its operations remain within the bounds of legality and uphold the highest standards of integrity.

Objectives and Commitment

The bank’s board and senior management have committed to adhering to these standards, guaranteeing that FMFB-A’s activities are conducted in a way that is transparent, fair, and trustworthy. By enforcing strict compliance measures, FMFB-A can:

  • Detect and prevent violations of laws, regulations, and internal policies
  • Safeguard the integrity of its shareholders and employees
  • Treat customers fairly and earn their trust and credibility
  • Avoid unnecessary regulatory penalties

The Role of Compliance Department

The bank’s Compliance Department plays a crucial role in this effort, overseeing compliance aspects and managing risks faced by the institution.

Implementing Advanced Systems for AML/CTF Compliance

To ensure better compliance with Anti-Money Laundering (AML) and Combating Terrorist Financing (CTF) laws, regulations, and international standards, FMFB-A has implemented several systems, including:

  • Oracle FCCM solutions for AML/CFT
  • Know-Your-Customer (KYC) system
    • Enables automated customer risk assessment
    • Alerts predefined risk-based scenarios

Additionally, the bank has installed Acuity, a compliance sanction screening software that includes built-in AML-compliance software called Online Compliance.

Advanced Technology for Sanction Screening

This cutting-edge technology screens every customer and transaction against public sanctions, including those listed by:

  • The UN
  • OFAC
  • European black lists

to ensure compliance with international standards. By adopting these advanced systems, FMFB-A demonstrates its commitment to maintaining the highest level of integrity in the banking industry, not only meeting but exceeding regulatory requirements.