"Financial Transformation" Expects Shrinkage of Foreign Exchange Companies from the UAE Market

Mohamed Al Ansari, head of the group of banking and financial transfer institutions, CEO of Al Ansari Exchange said that a number of trading and transfer companies could pull out of the market because of the difficulty of obtaining the new regulations approved by the Central Bank. 30%

On the sidelines of a seminar organized by the Group of Banking Institutions and Financial Transfer in cooperation with Dow Jones, titled "Financial Crimes and Challenges of Compliance with UAE", he said that nearly 75% central controls concerned compliance, that it died

Know your customer

and demand that you increase your operating costs because of the hiring requirements qualified personnel and systems development. Financial institutions of the Central Bank whose rules are to be applied early next year, require the appointment of an agent to monitor, ensure compliance requirements.

and apply the rules of "Know Your Client" to identify the sender and the future of remittances. Strict uniformity, compliance control in the exchange sector, is considered necessary To solve the problems associated with foreign correspondent banks, namely the refusal of some foreign banks to deal with certain financial institutions in the region Gulf, as a high risk area.

Audit

Mohammed Al Ansari confirms that foreign exchange companies and remittances

stressing that local businesses are now asking customers to indicate the reason for the transfer, especially due to the increase in the number of operations

Al-Ansari said that the imposition of penalties, including imprisonment and fines for non-compliance with the rules The new compliance, which the central bank has imposed on its trading companies, will make the work of exchange and transfer of funds more serious, emphasizing that most companies offer training programs for employees. .

19659002] Christoph Ames, chief financial officer at Dow Jones, said The amount of financial fines suffered by financial institutions is estimated at $ 8.9 billion.

World banks and major financial institutions were penalized and most of the US institutions was the size of the violations in the banking sector estimated at $ 1.4 billion. He stressed the importance of the rules issued by the UAE Central Bank to achieve the required respect and fight against money laundering, especially because of the remittances market, because the majority of customers are expatriates. to work in the country and the UAE is a financial and commercial market. Currencies.