Jordan Releases Guidelines for Customer Due Diligence Measures

The Jordanian government has published a set of guidelines aimed at helping financial institutions in the country prevent money laundering and terrorist financing.

Framework for Background Checks

The “A Guideline for Customer Due Diligence Measures” document provides a framework for banks and other financial institutions to conduct thorough background checks on their customers. According to the guidelines, financial institutions must verify the identity of their customers through a combination of:

• Documentary evidence
• Physical verification

In addition, they must also monitor transactions and report any suspicious activity to the authorities.

Compliance with International Regulations

The guidelines are designed to ensure that Jordanian financial institutions comply with international anti-money laundering and terrorist financing regulations. The country has been working to improve its financial sector’s transparency and accountability in recent years, and the release of these guidelines is seen as a major step forward.

Expert Opinion

Experts believe that the guidelines will help to prevent criminal activity and protect the stability of the financial system. “Customer due diligence is a critical component of anti-money laundering efforts,” said Dr. Ahmed Al-Khateeb, an economist at the University of Jordan. “These guidelines will help financial institutions in Jordan to identify and mitigate risks associated with money laundering and terrorist financing.”

Availability of Guidelines

The guidelines are available for download on the website of Jordan’s regulatory body, along with other documents related to electronic payments and money transfer activities.

Key Takeaways

• Financial institutions in Jordan must verify customer identity through documentary evidence and physical verification
• Institutions must monitor transactions and report suspicious activity to authorities
• The guidelines aim to ensure compliance with international anti-money laundering and terrorist financing regulations
• The release of these guidelines is a major step forward in improving financial sector transparency and accountability in Jordan.