PETALING JAYA: Bank Negara has issued an exposure draft on governance, risk management, and operations for money services business (MSB).

       The central bank said the exposure draft outlines the minimum standards that an MSB must observe in ensuring good governance practice and robust risk management as well as internal control systems in carrying out money services activities.

       “These revised requirements aim to further elevate the standards of professionalism and compliance in the industry; strengthen industry safeguards against the risks of money laundering and terrorism financing; and enhance customer protection, in line with changing landscape and latest developments in the industry,” Bank Negara said.

       In a notice posted on its website, the central bank said written feedback on the proposals in the exposure draft were welcomed. Responses must be submitted by Feb 28, 2022.

       “The written feedback should be supported with clear rationale, accompanying evidence or appropriate illustrations to facilitate an effective review of this exposure draft,” it said.

       In the exposure draft, Bank Negara said the MSB has evolved into a modern industry with provision of services available through digital channel in addition to the traditional branch and agent networks.

       It noted that the myriad of service channels has provided consumers with easy access and enhanced users experience.