The Securities and Exchange Commission of Pakistan (SECP) on Wednesday proposed important amendments to the Anti-Money Laundering and Countering Financing of Terrorism (AML/CFT) Regulations, 2020, reported 24NewsHD TV channel.
The amendments are aimed at enhancing the scope of regulations to effectively stem proliferation financing and giving credence to the country's financial integrity framework.
According to a press release, the SECP has invited all stakeholders to submit suggestions on the proposed amendments within the next 14 days.
The SECP has proposed measures to streamline the existing AML regulatory framework.
It said that the proliferation financing of Weapons of Mass Destruction (WMDs) or their delivery systems is an issue of universal concern.
The SECP has proposed to reduce the existing limit of five years to three years for any account to be considered inactive.
SECP further aims to enhance the effectiveness of the regulations by adding provisions, among others relating to reliance on third parties for CDD and requirements applicable to foreign branches and subsidiaries of regulated persons.
The public consultation process is an essential component of SECP's commitment to transparency and inclusiveness.
The involvement of stakeholders is crucial for the development of robust regulations that align with the evolving needs of the financial ecosystem, the press release underlined.
Reporter Waqas Azim