Notification from Bank of Thailand: Know-Your-Customer (KYC) Requirements for e-Money Service Providers

Objective

The Bank of Thailand (BOT) has issued this Notification to ensure that e-Money service providers comply with KYC regulations, thereby preventing money laundering and terrorist financing.

Key Requirements

To meet the requirements outlined in this Notification, e-Money service providers must:

Identification and Verification

• Smart ID Card Examination: Use electronic systems to examine Smart ID cards (Clause 4.2.2(2))
• Approved Methods: Employ other methods approved by the BOT on a case-by-case basis (Clause 4.5.1)

Risk Assessment and Management

Assess and manage risks associated with using third-party services for KYC implementation.

Record-Keeping

Maintain records of customer identification information, transactions, and evidence for at least 5 years (Clause 4.4).

Compliance

Comply with the regulations and submit plans for relaxation or approval to the BOT if necessary.

Transitional Provisions

To ensure a smooth transition, providers must:

1. Develop a Compliance Plan: Create a plan to meet KYC requirements within 180 days from the effective date of this Notification.
2. Report Progress: Submit their progress report to the BOT within 60 days and notify them once compliance is achieved.

Effective Date

This Notification comes into effect on the day following its publication in the Government Gazette (13th March 2020).

By emphasizing the importance of KYC regulations, the Bank of Thailand aims to prevent financial crimes and ensure a secure payment ecosystem for e-Money service providers in Thailand.