Cox's Bazar:Bangladesh Bank (BB) has urged finance companies to bolster their oversight, internal controls, and risk-based management systems to combat money laundering activities. The central bank's call to action aims to address potential abuses such as loans, anonymous lending, misallocation of loan funds, and transactions with related parties.
According to Bangladesh Sangbad Sangstha, Deputy Governor Md Sarwar Hossain emphasized these measures during the inaugural session of a two-day conference for Chief Anti-Money Laundering Compliance Officers (CAMLCOs) of finance companies held in Cox's Bazar. The conference, organized by BB's Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) Department, highlighted the importance of transparency, accountability, and good governance within non-bank financial institutions.
Sarwar Hossain stressed the necessity for effective monitoring of lending activities and urged finance companies to enhance their compliance mechanisms to avert financial irregularities. He highlighted the importance of strengthening anti-money laundering efforts in preparation for Bangladesh's fifth-round Mutual Evaluation by the Asia/Pacific Group on Money Laundering (APG), set for 2027-2028.
BB Executive Director Md Muksuduzzaman addressed the event, reinforcing the need for finance companies to improve their internal controls and compliance frameworks to mitigate money laundering risks. He also pointed out the critical role of identifying actual beneficial owners of clients and ensuring that CAMLCOs can operate independently in fulfilling their duties.
The session was chaired by ATM Kamrul Kabir Bhuiyan, the director of BB's AML/CFT Department, and included remarks from Mahbub-ul-Kader, president of the Association of Anti-Money Laundering Compliance Officers of Finance Companies in Bangladesh. Senior central bank officials, chief executives of finance companies, and their CAMLCOs and deputy CAMLCOs are participating in the conference.
With the theme "Resilient Finance Companies through Effective AML/CFT," the conference will cover a range of topics, including risk-based supervision, corporate governance, suspicious transaction reporting, and preparations for the forthcoming Mutual Evaluation. The adoption of a "Joint Strategy Statement 2027" is also part of the conference's agenda.