Indian banks are under growing pressure to ensure their antimoney laundering and countering the financing of terrorism (AML/ CFT) measures align with global standards. In a recent report, the Financial Action Task Force (FATF) highlighted numerous compliance weaknesses in Indian financial institutions (Fls) and called for regulators to impose more "dissuasive" monetary penalties.
The intergovernmental body published in September 2024 a 368page mutual evaluation report on India's compliance with global AML/ CFT standards, based on an onsite visit in November 2023. In the report, FATF assessors expressed concerns over the quality and speed of suspicious transaction monitoring and reporting by Fls in India. They noted that some firms took 45-60 days to review and make decisions on alerts for simple issues and took even longer in more complex cases.
FATF assessors also raised concerns over whether Indian Fls are adequately countering terrorism financing (TF). Most of the Fls that assessors met were unable to demonstrate "how they transposed their knowledge of TF risks into, for instance, controls and alerts to monitor transactions" in the conflict areas highlighted in India's 2022 National Risk Assessment.
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
EC tests the prowess of DLT through a sandbox
The European Blockchain Regulatory Sandbox is helping regulators to understand the benefits of blockchain in financial services domain:
GDPR vs DPDP & what it means to BFSI
The recently enacted Digital Personal Data Protection Act, 2023, of India, has cast itself as a game-changing framework for addressing the privacy and data protection needs of a rapidly digitizing nation.
Insurance, investments & financial planning for women to rise
What percentage of your customers are women? What percentage of your overall business comes from women customers? How have both these figures changed over the last few years?
AIMING WITH AI
An organization can have multiple goals with Al. We have selected 3 key goals Front Office, Back Office and Strategic Decisions. Six CIOs/CTOS/ CDOs from India, Sri Lanka, Uganda, Nigeria and Ecuador share their perspectives on these 3 goals and on skills, consultants and partners:
SBI launches Har Ghar Lakhpati & SBI Patrons deposit schemes
The State Bank of India (SBI), the two new deposit schemes-Har Ghar Lakhpati and SBI Patrons-designed to offer customers greater financial flexibility and value.
L&T Finance collaborates with Amazon Finance India for innovative credit solutions
L&T Finance (LTF) has entered into a multi-year strategic partnership with Amazon Finance India to co-develop cuttingedge credit solutions designed to enhance affordability for eligible Amazon customers and merchants.
Pay Later extended to stocks
Paytm Money has launched the 'Pay Later' margin Pay trading facility, allowing investors to buy and invest in stocks by paying just a fraction of the total value upfront.
30% for EV, 30% for Solar
ADB has invested US$25 million in Vivriti Capital's first climate bond for renewable energy and EV infrastructure. Smitha Jain Arora, Head Sustainability & Impact, lays the road ahead:
Professional competencies must complement AI
Anooshka Soham Bathwal, CEO & Founder of Dhanvesttor, navigates the challenges of costs and skills shortages along with the opportunities of AI and innovation:
RBI issues stringent guidelines to combat mobile number fraud in digital transactions
The widespread adoption of digital transactions, while providing unparalleled convenience and efficiency, has also led to an increase in fraudulent activities, raising serious concerns that require collective action.
