The Caribbean Association of Banks (CAB) has endorsed the know-your-customer (KYC) initiative established by SWIFT, the global messaging platform.

SWIFT’s KYC Registry is a centralised repository that maintains a standardised set of information on correspondent banks’ requirements for compliance purposes.

Benefits

The CAB has a regional membership of 45 financial institutions across 16 countries and its chairperson, Joanna Charles, reckons the registry will “reduce the cost and risk related to know your customer correspondent banking compliance.”

She added that members actively exchange a range of information and documents with their counterparties in order to achieve effective due diligence standards and meet other regulatory requirements.

Membership update

Signing up to the KYC Registry should enable CAB member banks to proactively share information with correspondent banks, increase efficiency, reduce costs and allow the Caribbean region to demonstrate transparency and KYC compliance more effectively according to Charles.

So far, more than 1,315 financial institutions from across 168 countries are using the KYC Registry to facilitate compliance with a growing number of correspondent relationships worldwide.

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