Governor Bakani would like to inform the public that the Media Release by the Financial Analysis Supervision Unit (FASU), dated 12 July 2021 on the regulatory actions taken against the Bank South Pacific (BSP) was done independently based on the Anti-Money Laundering and Counter-Terrorist Financing (AML/CTF) Act 2015.
The Bank of PNG (BPNG) disassociates itself from the statement made by FASU.
The use of the Bank logo was not authorized and the statement was not endorsed or approved by BPNG. FASU should have consulted BPNG on the statement before releasing it.
This would have avoided any potential contradictions and conflict with Acts under BPNG and its objectives.
BPNG is concerned about the adverse impact of the Media Statement by FASU on BSP, PNG’s largest bank and the stability of the financial system, which have been achieved and sustained well before the AML/CTF Act came into being.
Governor Bakani reassures the public that the banking system, including BSP, is sound and meets all regulatory requirements and standards under the Banks and Financial Institutions Act (BFIA) 2000.
BPNG will continue to administer the relevant laws to strengthen the integrity and sustainability of the financial system in PNG to remain stable.