Sudan Updates Anti-Money Laundering and Counter-Terrorism Financing Regulations
The Central Bank of Sudan has issued a new circular updating regulations on combating money laundering, terrorism financing, and the financing of weapons proliferation.
The circular obliges all financial institutions to immediately freeze funds and assets belonging to individuals and entities listed on international sanctions lists without prior notice.
The bank also directed institutions to use technological systems for instant matching with sanctions lists and to regularly screen beneficial ownership data. The regulations include a ban on opening anonymous accounts or dealing with “shell banks,” alongside strict restrictions on electronic transfers to ensure full sender and beneficiary information is provided.
The circular emphasized the necessity of adopting and regularly updating a risk-based approach, with particular focus on enhanced due diligence for politically exposed persons (PEPs).
These measures are based on United Nations Security Council resolutions, particularly Resolution 1591, to strengthen Sudan’s compliance with international standards set by the Financial Action Task Force (FATF) and to combat illicit financial flows. They also align with relevant domestic laws, FATF recommendations and updates, and international best practices.
This update is consistent with the Central Bank’s strategic direction, particularly in relation to reform programs and restructuring the banking sector, aiming to strengthen banks and non-bank financial institutions and improve their efficiency, while supporting financial inclusion policies and expanding access to banking services alongside reinforcing the risk-based approach.
The circular reflects the Central Bank’s commitment to keeping pace with local and international developments, enhancing the stability of the banking system, and reducing risks associated with illicit financial activities. This supports confidence in the financial sector, contributes to economic stability, and reinforces Sudan’s adherence to international efforts to combat terrorism and the proliferation of weapons of mass destruction, while preserving national sovereignty and domestic laws.
The Central Bank reaffirmed its commitment to continuing the development of the regulatory and supervisory framework to enhance banking performance and maintain a balance between expanding financial services and managing risks.
