On 1 July 2022, Bank Negara Malaysia issued two new policy documents that are applicable to the holders of a licence issued under the Money Services Business Act 2011.
The two new policy documents came into effect on 30 June 2022.
The Governance, Risk Management and Operations for Money Services Business sets out the minimum standards that money services businesses (MSB) must observe when implementing sound governance, appropriate risk management and robust internal control systems. This policy document supersedes a total of 13 guidelines, circulars and notifications, including the Guidelines on Governance and Operational Requirements on Conduct of Money Services Business issued on 15 October 2012.
The Agent Oversight Framework for Money Services Business sets out they minimum requirements that an MSB licensee – that is approved to appoint MSB agents under section 42 and 43 of the Money Services Business Act 2011 – must observe to ensure effective agent oversight for principal-agent arrangements. This new policy document supersedes the Guidelines on Agent Oversight Framework for the Money Services Business Industry issued on 15 April 2013.
For further information on this topic please contact Pamela Kung at Shearn Delamore & Co by telephone (+60 3 2027 2911) or email ([email protected]). The Shearn Delamore & Co website can be accessed at www.shearndelamore.com.