Oman Central Bank Circular No. BM921/2001

Customer Due Diligence for Banks

To: All Licensed Banks in Oman

Subject: Customer Due Diligence for Banks

  1. In the context of greater use of electronic media and the banking transactions acquiring cross-border status, the need for sound Know Your Customer (KYC) procedures to protect banks’ reputation and integrity needs no emphasis. Inadequacy or absence of sound KYC standards exposes banks to serious customer and counterparty risks, especially reputational, operational, legal and concentration risks. Thus, KYC procedures should constitute an essential part of sound risk management systems in banks.