Banking Compliance Issues in Macao: AMCM Enhances Supervision of Financial Technology
The Monetary Authority of Macao (AMCM) has recently taken steps to optimize its supervision of financial technology, aiming to improve regulatory compliance and security requirements while promoting development.
New Guidelines for Authorized Institutions
In 2023, the AMCM introduced four new guidelines focusing on technology and operational risk management. These guidelines are designed to help Authorized Institutions conduct a thorough review of their existing control points, identify any gaps or non-compliance issues, and complete related remediation measures within 12 months.
Key Guidelines
The four guidelines issued by the AMCM include:
- Guideline on Risk Management of Electronic Banking: Sets forth key principles for Authorized Institutions to identify, assess, and manage risks associated with electronic banking.
- Guideline on Technology and Cyber Risk Management: Provides requirements related to the management of emerging technologies and improvement of information technology development and operations.
- Guideline on Outsourcing: Outlines the AMCM’s supervisory approach to outsourcing arrangements by Authorized Institutions, including major prudential issues to be considered when entering such arrangements.
- Industry Guidance on Cloud Outsourcing Controls: Provides requirements for cloud outsourcing arrangements, highlighting major prudential issues to be considered when entering such arrangements.
Key Principles and Requirements
The guidelines set forth several key principles and requirements, including:
- Enhancing security measures for financial products and services provided through internet banking, self-service terminals, and phone banking channels
- Establishing a fraud monitoring mechanism to reduce the risk of fraud
- Improving resilience to technology and cyber risk
- Considering major prudential issues when entering outsourcing arrangements
Assistance from Deloitte
Deloitte can assist in meeting compliance obligations by providing an overview of the updated guidelines, highlighting key points of the revised requirements. Our experts are available to discuss any questions or concerns regarding the new guidelines.
Contact Us
Contact us today to learn more about how Deloitte can help you navigate the changing regulatory landscape and ensure compliance with the latest banking regulations in Macao.