The Securities and Exchange Commission of Pakistan (SECP) proposed major anti-money-laundering rule changes, simplifying and securing digital account opening processes for investors.
The SECP drafted amendments to AML and CFT Regulations 2020, strengthening financial safeguards while easing barriers that significantly delay digital investor onboarding processes.
Under proposed rules, IBAN verification via Pakistan Raast payment system will be formally recognized as valid identity proof during digital account registration and verification.
Investors must conduct all financial transactions exclusively through verified bank accounts or registered e-wallets, adding enforceable security layers to every transaction undertaken.
The amendments introduce biometric verification measures, including facial recognition technology developed collaboratively with the National Database and Registration Authority.
This biometric system aims to minimize risks of unauthorized transactions by ensuring individuals opening or operating investment accounts are uniquely and properly identified beforehand.
The SECP confirmed regulated entities will retain complete responsibility for Know Your Customer checks and ongoing monitoring of client accounts under existing compliance obligations.
Draft amendments have been published on the official website of SECP, with the public granted fourteen days to submit feedback and comments regarding proposed regulatory changes.
FIA Cracks Down on Money Laundering
In another development, FIA has announced a crackdown against money laundering, establishing a dedicated financial intelligence unit at its headquarters for immediate enforcement.
Suspicious transactions will prompt immediate action under new procedures, strengthening anti‑money‑laundering framework and ensuring transparent investigations under the 2010 Act.
FIA has introduced a new mechanism for handling financial intelligence, with all zones directed to establish financial intelligence desks led by assistant director‑rank officers.
Reports received from the Financial Monitoring Unit will be acted upon immediately, with investigations and prosecutions in money laundering cases made more effective through strengthened procedures.
A comprehensive strategy has been finalized for parallel financial investigations, with strict timelines established for case transfers and inquiries to ensure timely completion.
