The National Bank is to update the rules governing the operation of money transfer systems

The National Bank of Kyrgyzstan has approved amendments to the rules governing money transfers via money transfer systems. The amendments relate to requirements for operators, the procedure for notifying the regulator, grounds for removal from the register and reporting obligations.

According to a resolution of the National Bank of Kyrgyzstan’s Board, money transfer system operators must now notify the regulator at least 15 working days in advance of the launch of new services and products, as well as of any changes to the operating rules of their systems. Previously, in certain cases, a deadline expressed in calendar days was applied.

Furthermore, upon registration, operators will be required to provide the National Bank with additional contact details, including an email address.

The document also specifies the grounds for revoking the registration of a money transfer system operator. The National Bank may remove a company from the register if:

• its licence or other authorisation documents have been revoked in its country of origin;
• the operator has independently notified the authorities of the cessation of its activities in Kyrgyzstan following the settlement of all accounts;
• operations have not commenced within 12 months of registration or have not been carried out for over a year;
• the operator has breached the requirements of the National Bank’s regulatory acts on two or more occasions within 12 consecutive months;
• inaccurate information or documents were submitted at the time of registration.

Following removal from the register, the operator is obliged to cease providing services no later than the day on which the relevant information is published on the National Bank’s official website.

Another change concerns reporting. Operators must now submit information on system transactions and participants to the National Bank in electronic form on a quarterly basis, no later than the 15th day of the month following the reporting quarter.

The resolution will come into force 15 days after its official publication.