Manage KYC on Global Scale says Basel
The Basel Committee on Banking Supervision has underlined the need to manage Know Your Customer risks on a global scale. The Committee issued a paper on 6th October to provide guidance for banks on this topic – ‘Consolidated KYC risk management’. The paper addresses the need for banks to be able to share information with their head offices and it urges jurisdictions in which legal impediments remain to remove them. The Committee wants banks to adopt a global approach and apply the elements necessary for a sound KYC programme to both the parent bank or head office and all its branches and subsidiaries. These elements consist of risk management, customer acceptance and identification policies, and ongoing monitoring of higher-risk accounts.