Pakistan reviews AML-CFT framework, approves key regulatory changes
- Committee also approves proposed revisions to thresholds for Currency Transaction Reports
Pakistan's National Executive Committee on AML-CFT, led by Finance Minister Muhammad Aurangzeb, approved key regulatory changes to enhance financial monitoring and oversight, including revised CTR thresholds and new inclusions in the AMLA.
- Approved revisions to Currency Transaction Report thresholds.
- Inclusion of Pakistan Maritime Zones Act in AMLA Schedule I.
- Strengthening the Financial Monitoring Unit's analytical capabilities.
Finance Minister Muhammad Aurangzeb on Tuesday chaired the 19th meeting of the National Executive Committee (NEC) on Anti-Money Laundering and Countering the Financing of Terrorism (AML-CFT), approving key regulatory changes aimed at strengthening Pakistan’s financial monitoring and oversight framework.
According to a Finance Division press release, the meeting reviewed progress on decisions taken at the previous NEC meeting, the performance of the Financial Monitoring Unit (FMU), institutional capacity and the use of artificial intelligence and machine learning in strengthening AML-CFT operations.
The committee approved proposed revisions to the thresholds for Currency Transaction Reports (CTRs) under the framework for analysing Suspicious Transaction Reports (STRs) and CTRs.
It also approved the inclusion of Section 28 of the Pakistan Maritime Zones Act, 2023, in Schedule I of the Anti-Money Laundering Act (AMLA). Additionally, the Pakistan Virtual Assets Regulatory Authority (PVARA) was approved for inclusion in Schedule IV of the AMLA.
Aurangzeb stressed the need for timely implementation of decisions, improved coordination among relevant institutions and regular monitoring to ensure the effectiveness of Pakistan’s AML-CFT regime.
He also called for strengthening the FMU’s analytical and operational capabilities through a clear implementation roadmap with defined timelines.
The committee highlighted the need to keep the country’s AML-CFT framework aligned with evolving financial risks and emerging technologies, while enhancing the analytical capacity of relevant institutions.
The meeting was attended by the Federal Minister for Law and Justice, the Governor of the State Bank of Pakistan, the Finance Secretary, the Securities and Exchange Commission of Pakistan chairman, the Director General of the AML-CFT Authority, and senior officials from the FMU and other relevant ministries and divisions.