Azerbaijani banks must set limits on risky transactions – central bank
Azerbaijan's central bank requires banks to set limits on high-risk transactions, including those linked to illegal gambling, to mitigate financial risks.Summary
The Central Bank of Azerbaijan (CBA) has mandated that banks analyze customer transactions and establish appropriate limits to prevent high-risk activities, particularly money transfers related to illegal gambling, according to Shahin Mahmudzade, the CBA's Executive Director. He explained that while the CBA sets general requirements, individual banks determine specific limits based on their own risk assessments. Banks are required to identify risks such as money laundering, illegal gambling, and funds of unknown origin. Mahmudzade noted that exceeding a limit does not automatically make a transaction illegal; banks can review and assess the nature of such transactions. Coordination of uniform limits among banks is also encouraged to reduce risks, though each bank may apply additional controls. He acknowledged that limits can inconvenience customers but argued that the societal benefits—such as preventing financial harm from illegal gambling—outweigh these drawbacks. Banks must continuously monitor transactions, identify suspicious activity, and take control measures.
(Source：Trend)