Danske Bank has announced plans to digitise its trade finance processes through a collaboration with Conpend for use of its Trade AI app to automatically check against anti-money laundering (AML), know your customer (KYC) and sanctions regulations.
Trade AI employs artificial intelligence and machine learning. It checks against International Chamber of Commerce rules and undertakes compliance checking against the Bankers Association for Finance and Trade AML guidelines and regulatory sanctions screening.
Financial crime compliance specialists at Danske Bank are expecting to perform different kinds of analyses using the app.
Danske Bank expects the app to enhance and digitise its trade finance related processes, thereby simplifying and streamlining existing processes, enhancing efficiency and transparency, reducing the probability of error and enabling an easily accessible end-to-end trade finance transaction audit trail.
The artificial intelligence and machine learning capabilities automatically check against AML, KYC and sanctions regulations, thereby enhancing the compliance and documentary reviewing process for trade finance specialists as well as risk and compliance officers.
Financial crime compliance
Product owner of the trade finance portfolio at Danske Bank, Erik Punt, says the bank expects to see significant efficiency gains after initial investment into teaching the system to capture and qualify data.
“With this, data from the large range of complex customer documents will – together with our financial crime compliance specialists – allow us to perform different kinds of analyses”, he says.
Punt also expects the app will help enable further digitisation of the bank’s trade finance products, ultimately resulting in a more efficient value chain.
Categories: Trade Based Financial crimes News