The United Arab Emirates central bank has issued new guidelines to financial institutions on anti-money laundering practices, it said on Monday, the latest of a number of measures launched by the Gulf state to combat illicit financial flows.
Banks will be required to develop internal procedures and put in place indicators to identify suspicious transactions and report them to the central bank’s Financial Intelligence Unit, the bank said in a statement.
They will also need to regularly screen their databases and transactions against names on lists issued by the United Nations Security Council or by the UAE government before conducting deals or entering into a business relationship with individual and corporate clients.
For all the latest headlines follow our Google News channel online or via the app.
They have one month from Tuesday to demonstrate compliance with the central bank’s requirements, the central bank said.
“The guidance aims to promote the understanding and effective implementation by licensed financial institutions of their statutory anti-money laundering and combatting the financing of terrorism obligations,” it said.
In February the UAE government created an Executive Office for Anti-Money Laundering and Counter Terrorism Financing and last month Dubai set up a money laundering court.
The Financial Action Task Force, an intergovernmental anti-money laundering monitor, said last year that “fundamental and major improvements” were needed to avoid it placing the UAE on its “grey list” of countries under increased monitoring.
The country has emerged as one of the fastest-growing corporate tax havens, according to a study earlier this year by the Tax Justice Network, documenting countries that attract companies seeking to shrink their tax bills.
Read more:
UAE Central Bank sets up encrypted whistleblowing portal to report misconduct
UAE central bank says banks should increase anti-money laundering efforts
UAE property giants behind $492 mln Bahrain tourism investment influx
Also Read
-
UAE central bank raises benchmark interest rate in step with Fed
The United Arab Emirates central bank raised its key overnight interest rate by 5 basis points on Thursday, in step with a similar move by the U.S. ... Banking & Finance -
UAE Central Bank sets up encrypted whistleblowing portal to report misconduct
The Central Bank of the United Arab Emirates (CBUAE) has set up an encrypted whistleblowing portal for internal and external stakeholders to voice ... Gulf -
UAE central bank says banks should increase anti-money laundering efforts
The United Arab Emirates central bank said banks should increase anti-money laundering efforts to safeguard financial stability in the country.“To ... Economy -
Dubai’s Emaar hires Emirates NBD for sale of e-commerce business Namshi: Sources
Dubai’s Emaar has picked Emirates NBD to advise it on the sale of fashion e-commerce business Namshi, sources said.Emaar Malls, the retail arm of ... Technology
