Uzbekistan tightens bank control rules on currency financial transactions

Business Materials 28 November 2013 15:50 (UTC +04:00)

Tashkent, Uzbekistan, Nov. 28
By Demir Azizov- Trend:

A joint resolution of the Central Bank and the department fighting tax, currency crime and legalisation of criminal income under the Prosecutor-General's Office of Uzbekistan has come into force. This resolution tightens control of commercial banks over the sale of foreign currency and international money transfers.

The resolution confirms 'Internal control rules for countering legalisation of income from crime and terrorist financing in commercial banks'. According to the resolution, the criteria for nonrecurring transactions under which a bank must check clients have been changed.

Henceforth, commercial banks are required to take their own measures on appropriate checking of clients wishing to sell foreign currency in an amount equal to or exceeding the 100-fold size of the minimum wage (previously, 1000-fold), exchange, replacement and (or) the conversion of cash currency into the amount equal to or exceeding a 25-fold size of the minimum wage (previously, 100-fold size).

Currently, the minimum wage amounts to 91,530 soums in Uzbekistan.

Measures for client control, as before include verifying the identity and authority of the client and individuals on whose behalf he or she is acting on the basis of relevant documents, identification of the real owner of the client and permanent examination of business relations and transactions carried out by the client to verify their compliance with information about this client and the activity.

Some rules were also introduced. According to them, the commercial banks must provide money transfers with accurate information about the client-sender. This entails the surname, first name, number of identity document, account number, if a client's account or a unique code of the transaction were used and the same information about the recipient.

It is forbidden to render services to receive and send money in foreign currency in the sphere of international money transfers without identifying the client.

Commercial banks are required to urge non-resident banks and international money transfer systems to provide similar information about individuals transferring money, the amount of which does not reach 25 times of the minimum salary.