Karachi: The respite for Pakistan under the watchful eye of the global financial system, which accepts the country’s response to money laundering and terrorist financing, should be taken as an opportunity to improve compliance and get off its radar. Should
Ghazanfar Agha, Group Head Chief Compliance Officer, Simba Bank Limited, said that the economic impact of the Financial Action Task Force (FATF) is huge because Pakistan has a kind of sword on its head. If Pakistan gets the FATF’s gray list in its next review in February this year, there will be unlimited growth in the economy.
“If we stay in the FATF, obviously people are scared and this risk factor remains,” Agha told Tresmark in a recent video interview, which is a financial terminal that tracks markets around the world. Is. “I don’t see any danger at all from where we’re not going to go bad.”
Regulatory technology is the cornerstone of how compliance will be managed in the coming years. “I have traded one of the largest derivative trade books in Pakistan so when you take a position a lot of risks are assessed and more risks than FATF on Pakistan are created in all our business, so It has the opposite effect. If the FATF is cleared, we will definitely do a much better job indefinitely.
Global compliance is central to most banks. This push is coming from fines. He said that the way the punishment has been imposed and some of these institutions have demanded such financial betting, they have understood that non-compliance is not an option and it is very expensive to go around fully complying. Is.
“People have realized that your business has as much money as you do. “If you don’t comply, the fines could be more than the benefits of non-compliance,” Agha said.
“Site inspections and on-site factors are going to be less in favor of the technology, so at Samba Bank, I’m looking for a lot of technical solutions for this, with the idea of increasing the technology and humanizing the staff. Capacity building. We have high efficiency.
There is a strong movement going on now, bringing both small and medium enterprises and medium enterprises into the mainstream. In China and India, their full growth engines are driven by medium-sized enterprises and small businesses. “We had big corporates in Pakistan and then there was a huge gap between them and the people below,” he said.
“As far as the corporation of Pakistan is concerned, if you look at the stock exchange, 75-80% of our companies have recorded an increase in the price of income shares in the last six months and it is noteworthy that this means that across the board. , All industries have performed well.