ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has proposed amendments to the Anti-Money Laundering and Countering Financing of Terrorism (AML/CFT) Regulations 2020 to enhance the regulatory oversight to effectively combat proliferation financing and strengthen the country’s financial integrity framework.

The SECP has proposed amendments to the regulations by adding the term “Designated Person (DP)” that is an individual or entity designated under UNSC Act 1948.Proliferation financing, which refers to the financial support provided for the proliferation of weapons of mass destruction (WMD) or their delivery systems, has emerged as a significant global concern. Recognising the need for a comprehensive approach to address this issue, SECP has taken proactive steps to strengthen the existing AML/CFT Regulations.

After the regulations are notified the title of the regulation will be Anti-Money Laundering and Countering Financing of Terrorism and Countering Proliferation Financing (AML/CFT/CPF) Regulations 2020.

The proposed amendments primarily focus on expanding the regulatory framework to encompass measures specifically tailored for combating proliferation financing and diminishing the frequency from existing five years to three years to treat an account as dormant.

Published in Dawn, June 22nd, 2023