On My Friend Youssef Abdelmanan’s Remarks Regarding the Updating of Bank Customer Information

Al-Obeid Ahmed Marouh
In late 2022, I decided to use the Bankak application, even though I already had an ATM card. I downloaded the application from the Google Play Store and entered the required information, believing I could use it immediately. However, I received a message from the bank asking me to visit the nearest branch to complete the procedure. Naturally, I had no choice but to do so.
The following day, I went to one of the branches closest to my place of residence, namely the Centennial Branch on Obeid Khatim Street. I entered and approached the staff member in charge. She welcomed me and asked me to sit while she fetched the required form. Within a few minutes, she returned with a substantial bundle of paperwork which I was asked to read carefully and complete with the requested information.
As I read through the form and tried to recall the necessary answers, I began to feel as though I were completing a visa application for the United States of America. I stopped filling it in and went to one of the senior staff members at the branch to ask him to explain why he needed all this information. He invited me to sit down and, after recognising who I was, began to explain:
“You know, Your Excellency the Ambassador, that Bank of Khartoum is the only bank that emerged from the circle of American sanctions imposed on Sudan.”
I replied that I did, and that I also knew it was the only bank in Sudan permitted to deal in US dollars.
He added:
“And this was achieved only after considerable effort and perseverance by the bank’s senior management in its dealings with the US Treasury Department. The bank demonstrated that its systems were consistent with international standards relating to anti-money laundering, counter-terrorist financing and the prevention of tax evasion. Therefore, the form before you is part of our commitment to the international financial system, of which we have become a part.”
I recalled these events as I read the article written by my dear friend Youssef Abdelmanan about an initiative undertaken by respected colleagues at Bank of Khartoum—whom he mentioned by name—in cooperation with colleagues at the Global Space Centre, to facilitate procedures for journalists and cultural figures in Khartoum State to update their account information. This forms part of the wider process of updating customer data across the banking system, in keeping with the requirements necessary for Sudan to become part of the international financial system.
Bank of Khartoum and the Global Space Centre did well to provide an opportunity for prominent figures from the worlds of culture, journalism, theatre and music to meet and renew their connections after a long period of separation, during which the war had driven them apart and they had endured the bitterness of displacement and the pain of being away from home.
My friend Youssef Abdelmanan, however, is known for his long and flowing style. From the beginning of his newspaper column to the end, he carries the reader along with an abundance of information and continuous digressions, scarcely allowing one to catch one’s breath. He pours out numerous expressions and sentences, some of which require explanatory footnotes. I therefore thought it useful, and in the public interest, to comment on certain aspects of the column in question, so that people in the fields of culture, journalism, music and theatre—as well as all Sudanese—may be reassured that the concerns he raised are merely incidental effects of the essential requirements involved, rather than harmful measures directed either at the public or at particular individuals.
In this regard, I would say that updating bank customer information—all bank customers—is an internationally recognised regulatory and banking requirement. It is carried out periodically and includes basic personal information, the nature of the customer’s activities, sources of income, the means by which funds are acquired, and all other information required to fulfil the requirements of the “Know Your Customer” (KYC) principle, thereby enhancing the safety and reliability of banking systems.
As for the surprise expressed over questions relating to the United States, this stems primarily from compliance with the Foreign Account Tax Compliance Act (FATCA), an American law designed to prevent tax evasion by identifying the accounts of US citizens residing outside the United States, tracking their income and verifying that they have paid the taxes due from them, thereby closing potential loopholes. The United States has derived much of its ability to impose sanctions on individuals, states and financial institutions from the fact that a large proportion of global financial transactions are conducted in US dollars and cleared through settlement mechanisms in New York, within US territory.
In compliance with international standards and requirements, Sudan—like other countries—had already seen its central bank issue directives to banks in 2013 requiring adherence to FATCA requirements. During our service in Sudanese embassies abroad, we assured central banks in our respective countries that the Central Bank of Sudan had a specialised unit responsible for this matter, based in the Al-Amarat district.
Accordingly, including certain questions relating to the United States in the customer information update form does not imply any suspicion concerning the customer, nor does it constitute a measure specifically directed at that individual. Rather, it is part of compliance with international requirements and helps determine whether a person meets the definition of a “US person” where relevant indicators exist, such as citizenship, tax residency, or other factors. These questions do not mean that all customers are subject to FATCA requirements; they help determine whether the relevant status applies.
I have personally confirmed with the Bank of Sudan that updating customer information is required for several reasons, foremost among them verification and the protection of customers’ rights and deposits. This precautionary regulatory measure reduces risks to the customer, the bank, and society as a whole. Therefore, any confusion between these matters should be avoided.
I want to assure my brother Youssef and all our colleagues that this effort will not be in vain and that people will, sooner or later, reap its benefits. The world is no longer a collection of isolated islands; in the age of globalisation, it has become a single, far-reaching entity. Consequently, asking customers to update their information has become one of the most important requirements in banking relationships worldwide. It is by no means unique to Sudanese banks.

Shortlink: https://sudanhorizon.com/?p=17253