Moldova Enhances Digital Financial Services with New KYC Guidelines
Chisinau, Moldova - A Major Step Towards Promoting Digital Financial Services and Preventing Money Laundering
The Parliament of the Republic of Moldova has approved new legislative amendments aimed at enhancing Know Your Customer (KYC) procedures for all financial institutions in the country. This move is set to promote digital financial services and prevent money laundering.
Enhanced KYC Procedures to Take Effect on July 1, 2023
The amendments allow banks and other financial entities to use remote customer identification methods, such as electronic signatures or video/photo identification, to verify client identities. This significant step towards digitizing financial services will enhance the convenience of interacting with financial institutions.
Key Benefits of the Amendments:
- Efficient Customer Identification: e-KYC enables an efficient way to check a customer’s identity by digital means, facilitating their access to financial services.
- Convenience for Customers: Remote customer identification methods reduce the need for physical visits to financial institutions, making it easier for customers to access financial services.
- Enhanced Security Measures: Stricter record-keeping requirements and enhanced due diligence measures will help prevent money laundering and protect against financial crimes.
Additional Responsibilities of the National Bank of Moldova
The National Bank of Moldova will take on additional responsibilities, including supervising insurance and microfinance sectors in addition to banks, payment service providers, and currency exchange offices. This move is expected to strengthen the oversight of the financial sector in Moldova.
Key Takeaways:
- New KYC guidelines allow financial institutions to use remote customer identification methods.
- Amendments set to take effect on July 1, 2023.
- Enhanced due diligence measures for customers from high-risk jurisdictions introduced.
- Stricter record-keeping requirements for financial institutions.
- National Bank of Moldova to take on additional responsibilities.