Bank Negara Malaysia issues policy document on Currency Processing Business

30 July 2024

On 26 June 2024, Bank Negara Malaysia issued a policy document on Currency Processing Business, which came into effect on 1 July 2024.

The policy document sets out the standards and guidelines to be observed by registered currency processors (“RCP”) to ensure prudent practice, professionalism, integrity, accountability, and transparency of currency processing businesses.

The policy document also covers the related key areas of governance, operational requirements, risk management and internal control, and information technology requirements.

By way of background, the Currency Act 2020 requires any person, other than BNM or a financial institution, who carries on a currency processing business or holds itself out to be a RCP, to be registered as an RCP. The Act defines a currency processing business as the business of collecting currency note or currency coin, sorting currency note or currency coin by authenticity and quality, and packing currency note or currency coin by quality, quantity, and denomination by a person for or on behalf of another person.