The Central Bank of Armenia has set new requirements for the country's commercial banks to prevent the possible circumvention of international sanctions against Russia.
Modern.az reports that, according to the requirements that came into force on August 12, Armenian banks must promptly identify operations that may be related to the circumvention of sanctions against Russia.
The rules titled "Minimum conditions for internal control in banks", approved by the decision of the Central Bank, provide for the creation of a special system for managing the risks of sanctions evasion. Banks must identify operations considered suspicious before they are carried out, and if necessary, suspend or reject them.
The check will not be limited to the bank client. The counterparty of the transaction, other participants, geographical direction, currency used, place where the transaction was carried out, as well as the origin of goods and services will also be taken into account.
In checks related to individuals, their citizenship, residential address and tax residency will be among the main criteria. For companies, information about the country where the legal entity is located and operates, related persons and beneficial owners will be investigated.
Thus, Armenian banks will strengthen control over operations related to the possible circumvention of international sanctions imposed against Russia.
