Staff Reporter Karachi
The State Bank of Pakistan (SBP) and the Securities and Exchange Commission of Pakistan (SECP) have amended the terms of reference (ToRs) of their joint task force (JTF) on financial conglomerates to further strengthen the supervisory cooperation, inter alia, in AML/CFT/CPF supervision at financial-group level.
SBP Governor Dr Reza Baqir and SECP Chairman Aamir Khan signed the letter of understanding (LoU) for amendments to the ToRs, according to a statement issued on Thursday.
The inter-agency cooperation between financial sector regulators is a crucial element for the effective supervision of financial groups, which comprise various types of financial institutions.
Accordingly, the SBP and SECP established the JTF in March 2009 to proactively identify and tackle the risks posed by conglomeration in the financial sector. The ToRs of the JTF envisage the supervisory cooperation.
