| Project Detail |
The knowledge and support technical assistance (TA) will facilitate improvements to know your customer (KYC) processes in participating Pacific Developing Member Countries (DMCs). Papua New Guinea, Samoa, Solomon Islands and Vanuatu will participate in the TA to improve compliance with international requirements for anti-money laundering and counter financing of terrorism (AML/CFT). The TA will work with participating financial institutions and regulatory agencies in the four countries to support the rollout of a technology-based platform to facilitate the standardization of workflows for reporting entities. It will enhance KYC based on risk assessments and consistent information sharing with partner financial institutions and regulators. The TA will facilitate the development of an appropriate legal and regulatory framework and support consistent guidance on required standards and workflows for financial institutions. Project Name Improving Finance Sector Know Your Customer Capacity in the Pacific Project Number 56037-001 Country / Economy Regional Papua New Guinea Samoa Solomon Islands Vanuatu Project Status Active Project Type / Modality of Assistance Technical Assistance Source of Funding / Amount TA 10093-REG: Improving Finance Sector Know Your Customer Capacity in the Pacific Technical Assistance Special Fund US$ 500,000.00 Regional Cooperation and Integration Fund US$ 1.50 million Strategic Agendas Inclusive economic growth Regional integration Drivers of Change Governance and capacity development Knowledge solutions Partnerships Private sector development Sector / Subsector Finance / Banking systems and nonbank financial institutions - Finance sector development Gender Equity and Mainstreaming No gender elements Description The knowledge and support technical assistance (TA) will facilitate improvements to know your customer (KYC) processes in participating Pacific Developing Member Countries (DMCs). Papua New Guinea, Samoa, Solomon Islands and Vanuatu will participate in the TA to improve compliance with international requirements for anti-money laundering and counter financing of terrorism (AML/CFT). The TA will work with participating financial institutions and regulatory agencies in the four countries to support the rollout of a technology-based platform to facilitate the standardization of workflows for reporting entities. It will enhance KYC based on risk assessments and consistent information sharing with partner financial institutions and regulators. The TA will facilitate the development of an appropriate legal and regulatory framework and support consistent guidance on required standards and workflows for financial institutions. The TA is consistent with (i) the objectives of Asian Development Banks Pacific Approach, 2021-2025 of promoting regional cooperation and integration and facilitating the development of the finance sector in Pacific DMCs, (ii) ADBs Strategy 2030, and (iii) Sustainable Development Goals. Project Rationale and Linkage to Country/Regional Strategy 1.High costs of remittances to the Pacific; 2.Poor sources of data for Finance Sector customer due diligence; and 3. Gaps in AML/CFT Frameworks Impact Likelihood of financial institutions losing bank accounts because of noncompliance with KYC requirements reduced Costs of remittances to the Pacific DMCs moved closer to global averages |
