On February 14 the Colombian Finance Superintendency (SFC, for its acronym in Spanish) issued a circular letter with instructions concerning the management of liquidity risks in credit institutions. The measure which is already in force, obliges financial entities to make an internal risk evaluation of their liquidity positions in certain assets at least once every semester. The SFC also launched a public consultation on a draft bill providing instructions to administrate money laundering and terrorism financing risks. Those interested have time to submit comments until March 6, by writing to the following e-mail: [email protected].

The SFC circular letter includes an annex stipulating that  credit institutions must carry out a risk evaluation at least once every semester to determine the need for dematerialised or immaterialised promissory notes above the minimum established within their contingency plans. These modifications shall be carried out no later than December 31, 2020.

The purpose of the SFC’s draft bill is to continue improving instructions related to tackling money laundering and terrorism financing, in accordance with international regulations. Additionally, it seeks to promote innovation and financial inclusion by developing technologies to make risk management processes more robust in the light of the aforementioned problems. The draft is accompanied by annexed documents establishing special requirements for low value payment system entities, securities custodians and stock exchange commission agents, among others.