BNM issued revised Policy Documents on Anti-Money Laundering, Countering Financing of Terrorism, Countering Proliferation Financing and Targeted Financial Sanctions.

On 5 February 2024, Bank Negara Malaysia (BNM) through its Financial Intelligence and Enforcement Department had issued revised Policy Documents as follows:

• Anti-Money Laundering, Countering Financing of Terrorism, Countering Proliferation Financing and Targeted Financial Sanctions for Financial Institutions (“AML/CFT/CPF and TFS for FIs”)[1]
• Anti-Money Laundering, Countering Financing of Terrorism, Countering Proliferation Financing and Targeted Financial Sanctions for Designated Non-Financial Businesses and Professions (DNFBPs) and Non-Bank Financial Institutions (NBFIs) (“AML/CFT/CPF and TFS for DNFBPs and NBFIs”)[2]

(collectively referred as “the revised Policy Documents”)

The revised Policy Documents was made effective on 6 February 2024, except for the Counter Proliferation Financing (CPF) requirements in the AML/CFT/CPF and TFS for DNFBPs and NBFIs which shall come into effect on a date to be specified by the competent authority.

The revision includes recent updates to the Financial Action Task Force’s Standards and enhances clarity on the AML/CFT/CPF requirements imposed on reporting institutions. Reporting institutions are required to implement a risk-based approach in managing ML/TF/PF risks and comply with the TFS requirements.

[1] Policy Document on Anti-Money Laundering, Countering Financing of Terrorism, Countering Proliferation Financing and Targeted Financial Sanctions for Financial Institutions (bnm.gov.my)

[2] Policy Document on Anti-Money Laundering, Countering Financing of Terrorism, Countering Proliferation Financing and Targeted Financial Sanctions for Designated Non-Financial Businesses and Professions and Non-Bank Financial Institutions (bnm.gov.my)