- 02/08/2022
- Legal Update
Malaysia | Bank Negara Malaysia issues new policy documents for Money Services Business
On 1 July 2022, Bank Negara Malaysia issued two new policy documents which are applicable to holders of licence issued under the Money Services Business Act 2011.
The two new policy documents came into effect on 30 June 2022 and they are:
- Governance, Risk Management, and Operations for Money Services Business (“MSB”) which sets out the minimum standards that MSB must observe in implementing sound governance, appropriate risk management and robust internal control systems for their business.
- A total of 13 guidelines, circulars and notifications have been superseded following the issue of this new policy document. This includes, without limitation, the Guidelines on Governance and Operational Requirements on Conduct of Money Services Business dated 15 October 2012.
- Agent Oversight Framework for Money Services Business which sets out they minimum requirements that a MSB licensee that is approved to appoint money services business 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.