05 May 2020
Banks face longer transaction processing times and possible sanction violations as the coronavirus crisis puts pressure on their compliance control functions, experts warn.
Customers’ rapidly changing supply chains are a growing concerns for banks. As lockdown measures are causing logistical challenges, businesses must increasingly change third-party providers at short notice, said Sven Bates, a U.K.-based senior trade and sanctions associate at law firm Baker McKenzie.
“Suddenly, we’re seeing different types of third parties with different types of risk profiles in the SWIFT documentation,” Bates said in an interview. “Where previously, there wouldn’t have been a market need for the corporates to go to these types of third parties, now there’s a certain urgency to fill a particular business gap.”
By Sanne Wass, S&P Global Market Intelligence, 4 May 2020
Read more at S&P Global Market Intelligence
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