Correspondent Banking and Derisking Update
Financial Stability Board Publishes Action Plan to Address Decline in Correspondent Banking/Derisking
Correspondent Banking Update | July 4, 2017 | Author: Hdeel Abdelhady
Ahead of the upcoming G20 meeting, the Financial Stability Board (FSB) published today, July 4, 2017, a progress report on efforts to address the withdrawal of correspondent banking relationships (derisking) and its action plan to assess and address derisking. Among the areas of concern and action items identified by the FSB are remittances and building the capacity of affected respondent bank jurisdictions to effectively identify and counter money laundering, terrorism finance, and other illicit financial activities. Importantly, the FSB has stated that its efforts will focus not just on legislation and rule-making in respondent jurisdictions, but also on the capacity of those jurisdictions to implement and enforce stronger AML/CFT and other anti-financial crime rules.
The FSB’s press release announcing the report is here.
MassPoint’s Correspondent Banking Services
MassPoint PLLC provides correspondent banking compliance, capacity building, and policy analysis and advocacy services to correspondent and respondent banks. For analysis of the FSB report and continuing efforts to respond to correspondent banking derisking, or to discuss MassPoint’s correspondent banking services, please contact Hdeel Abdelhady at firstname.lastname@example.org or +1 202 630 2512.
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