Bolivia's banking community adopts Swift's KYC

Source: Swift

Swift announces today that Bolivia’s banking community connected to SWIFT is now using The Know Your Customer (KYC) Registry, Swift’s centralised repository which maintains a standardised set of information about financial institutions required for KYC compliance.

Since December 2014, The KYC Registry has been adopted by more than 2,350 financial institutions globally to complement existing compliance programs. In Latin America, the Registry is used by domestic and international banks in every country across the region. In addition to Bolivia, several other jurisdictions have endorsed the Registry through Central Banks or financial communities, including the Dominican Republic, Panama, and Costa Rica.

Alvaro Alvarez Monasterios, President of Bolivia’s Bank Association Compliance Commission, says: “SWIFT’s efforts to create the KYC Registry and engage the financial community are instrumental in the global fight against money laundering and financial crime. The Registry’s value in mitigating financial crime risks is unrivalled in this market.”

Nelson Villalobos, Deputy of Bolivia’s Bank Association Compliance Commission, adds: “The adoption of SWIFT’s KYC Registry by all member banks demonstrates the industry’s commitment to preventing financial crime, both at the national and international level.”

Fedra Ware, Practice Lead Compliance Services Latin America, SWIFT, adds: “With heightened expectations from regulators across the board for improved levels of transparency, banks in Latin America need to demonstrate a steadfast commitment to financial crime compliance. By taking clear action, Bolivia’s financial community sets the tone for a stronger financial system, thereby supporting the region’s inclusion in wider international trade activity.”

The KYC Registry, operated by SWIFT, provides KYC information for correspondent banks as well as fund distributors and custodians. Banks contribute an agreed ‘baseline’ set of data and documents for validation by SWIFT, which contributors can then share with their counterparties. Each bank retains ownership of its own information, as well as control over which other institutions can view it. Banks are not charged for data contribution or for using the Registry to share their KYC information with other users.

Each enrolled institution can also order its SWIFT Traffic Profile as an additional service and share this set of reports with its counterparties at its discretion. The SWIFT Traffic Profile helps banks understand potential risks in their correspondent networks by providing a single, aggregated view of their transaction activity with higher-risk jurisdictions. It helps banks active in such jurisdictions to protect their connection to the global financial system by enabling them to demonstrate their transparency and compliance.

Comments: (0)