SBP extends relaxation of biometric verification to December 31.

KARACHI -- Considering the intensity and ongoing impact of COVID-19 pandemic, the State Bank of Pakistan has further extended the relaxations regarding bio-metric verification and activation of dormant accounts to December 31, 2021.

The decision has been taken to ease the challenges faced by banks, Development Financial Institutions and Micro Finance Banks, and their account holders due to the COVID-19 pandemic, said a circular letter issued by the central bank's Banking Policy and Regulations Department on Monday.

Under the anti-money laundering and counter terrorism financing measures physical presence and bio-metric verification of persons intending to open an account or start a business with the financial entity was made mandatory but perceiving the risk of spread of COVID-19 from physical contact banks were allowed to utilize NADRA Verisys in place of Bio metric Verification (BMV) for verification purposes.

It has been decided to extend the validity of measures stipulated in relevant Circular Letter from June 30, 2021 to December 31, 2021.

The central bank has updated the requirement stipulated in BPRD Circular Letter No. 09 of 2020 and ACMFD Circular Letter No. 03 of 2020. The revised Para A(i)(a) now reads, '- for acknowledgment of physical presence of the customer for opening accounts without bio-metric verification may be relaxed by banks, in case of bank accounts of legal persons/ arrangements where the signatories (persons authorized to open or operate the accounts) are unable to travel to Pakistan amid COVID-19 restrictions. However, bank...