SBP allows banks to verify customers through NADRA Verisys for record keeping

SBP allows banks to verify customers through NADRA Verisys for record keeping

KARACHI: State Bank of Pakistan (SBP) has allowed banks to retain digital record of identity i.e. NADRA Verisys of customers for record keeping requirements.

In a statement issued on Monday, the central bank said that the banks and Development Financial Institutions (DFIs) may use the NADRA [National Database Registration Authority] Verisys in place of obtaining certified photo copies of required NADRA identity documents and bio metric verifications wherever required as per SBP AML/CFT Regulations including for request of activation of dormant account by customers.

“They should retain the NADRA Verisys for record keeping requirements (digitally or hard copy).”

The directives have been issued under measures taken to mitigate COVID-19 pandemic.

Keeping in view the ongoing impact of COVID-19 pandemic in the country, it has been decided to extend the validity of the measures from June 30, 2020 to December 31, 2020.

In addition, it has been observed that customers including (overseas Pakistani /walk in/ occasional) are experiencing problems with regard to operation in their bank accounts, ensuring execution of financial transactions by them and getting financial services from banks/DFI.

The following revisions are being made in the existing AML/CFT requirements to facilitate such customers:

Banks/DFIs may use the NADRA Verisys in place of obtaining certified photo copies of required NADRA identity documents and bio metric verifications wherever required as per SBP AML/CFT Regulations including for request of activation of dormant account by customers. They should retain the NADRA Verisys for record keeping requirements (digitally or hard copy).

Banks/DFIs to update records of their customers with regard to their postal address or email address or register mobile number or land line number. They may use either of these medium for ensuring efficient and reliable communications with their customers including where ever customer request/instruction is desired as per requirement of AML/CFT regulation including for activation of dormant accounts.

Further, the requirement of originator’s and beneficiary’s address in wire transfer vide Regulation-3, para (3c & 3e) of AML / CFT Regulations for Banks/ DFIs has been amended as below.

 Reference Existing Requirement Revised Requirement

R-3 Para(3c & 3e)

Bank/DFI shall include the following information in the message or payment instruction which should accompany or remain with the wire transfer throughout the payment chain:

( c )  the originator’s address and CNIC/ passport number (e) the beneficiary’s address and CNIC/ passport number

Bank/DFI shall include the following information in the message or payment instruction which should accompany or remain with the wire transfer throughout the payment chain:

( c )  the originator’s CNIC/ passport number (e) the beneficiary’s CNIC/ passport number

These instructions are enforceable with effect from July 01, 2020.

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