CORRESPONDENT BANKING DE-RISKING NOT OVER – WITH INTERNATIONAL WATCHDOGS KEEPING CLOSE EYE ON PROBLEM
April 2nd, 2020
Derisking through the dismantling of correspondent banking relationships continues to be a problem, according to the latest data, prompting concerns that informal transaction networks may grow, whose AML checks may be less robust than those applied by traditional banks.
The European Union (EU) is concerned, with the European Banking Authority (EBA) in October 2019 issued a report on risks affecting the financial sector, with derisking one of its biggest concerns regarding money laundering. The report states that financial institutions’ “failure to manage ...
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