Monetary authority rolls out monitoring system

The Monetary Authority of Macau (AMCM) announced on Friday that it would implement a new real-time monitoring system for mainland bank cards. According to a press release, the scheme is being set up to further promote the security and sustainable development of the MSAR’s financial system.
The monitoring system will verify the relationship between cardholder and the card in the process of acquiring goods or services. In order to mitigate the possible side-effects of illegal cross-border activities, such as money laundering, the AMCM has asked banks to exercise enhanced due diligence, perform ongoing monitoring and to provide further training to their staff. In addition, they will be required to regularly submit information on “high-risk” merchants and suspicious transactions.
The system will be rolled out in a number of stages. The first will see the monitoring of high-risk merchants near casinos, most of which are jewelry and watch merchants. Other merchants will then be brought into the system’s scope during the second phase – notably bank cards such as Visa and MasterCard.
The authority says that, in view of the comparatively high turnover incurred, China Union Pay cards and their related transactions will be included in the first stage.
The implementation of the new system will help Macau fulfill its obligations as a member of the Asia-Pacific Group on Money Laundering, the authority said on Friday.