During the COVID-19 outbreak, Labuan Entities (LEs) should continue to undertake necessary measures to ensure that their operations remain safe and sound. LEs are advised to put in place appropriate safeguards to remain operational during this challenging time which may include, but not limited to, the following measures:

I. Business Continuity Planning (BCP)

1. Implement appropriate BCP work arrangements and prioritise staff welfare by limiting the risk of exposure to the outbreak.
2. Effect appropriate contingency business arrangements which include remote working arrangements to ensure continued delivery of services to clients.
3. Set prudent and practical policies for online access to electronic work documents particularly confidential client information.
4. Consider the resilience of all business functions including outsourcing arrangements.
5. Maintain regular communication with clients and implement appropriate communication strategies to ensure that they are aware on how services are being provided during the outbreak.
6. Have in place back-up communication plans in the event that the BCP fails.

II. Risk Management and Internal Control

1. Assess potential business and operational disruptions arising from the outbreak.
2. Develop action plans and procedures to mitigate different set of risks arising in the current situation.
3. Escalate the assessment and action plans to entity’s Board and senior management for strategic deliberation and decision making.
4. Consider measures to ensure continuous adherence of regulatory requirements including meeting deadlines.
5. Continue addressing queries and complaints from clients, if any.

III. Cyber Security

1. Remain vigilant of increased possibility of fraud risk facing the business in the face of greater tendency for client’s usage of online transactions.
2. Apply effective fraud controls.
3. Enhance cyber security resilience by implementing measures to prevent cyber intrusions and other threats that may compromise the entity’s IT infrastructure.

24 April 2020