The Presidents/CEOs

All Banks/DFIs/MFBs

Dear Sirs/ Madams,

GUIDELINES ON COMPLIANCE RISK MANAGEMENT

1. Please refer to the BPRD Circular No. 07 dated August 09, 2017 on the subject.
2. In this regard, based on the feedback received from FIs, it has been decided to extend the timeline for implementation of Compliance Risk Management (CRM) guidelines from December 31, 2017 to June 30, 2018. Consequently, the timelines for putting in place an automated compliance system is also being extended from June 30, 2018 to September 30, 2018.
3. In addition to the role & responsibilities of CCO as mentioned in section 4 (C) of CRM guidelines, the CCO shall also be responsible for the following;

“Inform SBP, on immediate basis, of any information regarding the FI that is of some regulatory interest, including but not limited to resignation of key executive(s), any rumors about FI on social media, major frauds, major litigation matters, any investigation(s) by law enforcement agency(ies) etc.”.

4. All other instructions on the subject shall, however, remain unchanged.

Please acknowledge receipt.