SWIFT's KYC Registry Crosses 3,000-member Milestone

PR66609

HONG KONG, Nov. 21, 2016 /PRNewswire=KYODO JBN/--

Industry utility continues its momentum, as customers report a 45 percent

reduction in the time it takes to complete the KYC process

More than 3,000 financial institutions have signed up to use The Know Your

Customer (KYC) Registry (

https://www.swift.com/our-solutions/compliance-and-shared-services/financial-crime-compliance/the-kyc-registry/contact-us),

SWIFT's centralised repository that maintains a standardised set of information

about financial institutions required for KYC compliance.

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Launched in December 2014, The Registry provides a secure, cost-effective KYC

solution that enables banks, fund distributors and custodians to maintain and

grow their correspondent network. As an industry utility, The KYC Registry is

designed to help these institutions save significant time and money while

meeting their KYC obligations.

"We've reached the tipping point in terms of industry participation in The KYC

Registry," said Bart Claeys, Head of KYC Compliance Services, SWIFT.

"Collecting KYC documentation is a time-consuming and expensive process that

uses considerable staff resources. The KYC Registry tackles this challenge head

on by providing an information 'baseline' that addresses more than 80 percent

of the KYC data and documentation required to support the on-going due

diligence of correspondent banking partners or the on-boarding of new

relationships."

A recent survey conducted by SWIFT suggests that while The KYC Registry is

still in the ramp-up phase, it is already fulfilling its industry obligations

with many customers indicating substantial cost and time-saving benefits from

using it.  

-With initial data consumption underway, survey respondents have confirmed they

are spending, on average, 45 percent less time performing due diligence on a

counterparty when using The KYC Registry.

-A number of global banks have reported that using the Registry has delivered

up to a 60 percent reduction in the time it takes to perform additional due

diligence, such as collecting information about the Ultimate Beneficial Owners,

i.e. the people financially behind an institution, or board members.

The KYC Registry can also help smaller banks and those in high-risk markets

demonstrate transparency and provide information that meets the KYC

requirements of large banks and those in highly-regulated markets. This has

become especially important in the context of "de-risking" trends observed in

the industry, leading some banks to exit certain jurisdictions, product domains

and currencies and discontinuing some of their foreign correspondent banking

relationships.     

The 3,000+ entities in over 200 countries and territories that now rely on The

KYC Registry can instantly exchange data and documents with selected

counterparties without sacrificing control over their data or who can access

it. Users are not charged for contributing data to the Registry or sharing

their KYC data with other banks; they pay only for the data that they consume

from other institutions. In addition, 30 central banks as well as entire

communities have also signed up for the service. The broad cross-section of the

industry using The KYC Registry accounts for two-thirds of SWIFT message

traffic.

As The KYC Registry evolves in line with new regulations and customer needs, it

will grow its offering through value-added services and partnerships that

enable enhanced due diligence. For example, the recently-launched KYC Adverse

Media service, developed with Dow Jones, allows member institutions to access a

global database of news articles and regulatory notices about their

counterparties and correspondents.

"SWIFT is taking a 'marketplace' approach to KYC compliance, which will provide

a broader, even more collaborative solution for the benefit of the financial

services community," concluded Claeys.

For more information about The KYC Registry, visit www.swift.com/kycregistry.  

About SWIFT's financial crime compliance services portfolio

SWIFT's Compliance Services unit manages a growing portfolio of financial crime

compliance services in the areas of sanctions, Know Your Customer (KYC) and

Anti-Money Laundering (AML). The portfolio includes Sanctions Screening and

Sanctions Testing services, Compliance Analytics and The KYC Registry.

For more information, visit www.swift.com/complianceservices.

About SWIFT

SWIFT is a global member-owned cooperative and the world's leading provider of

secure financial messaging services. We provide our community with a platform

for messaging, standards for communicating and we offer products and services

to facilitate access and integration; identification, analysis and financial

crime compliance. Our messaging platform, products and services connect more

than 11,000 banking and securities organisations, market infrastructures and

corporate customers in more than 200 countries and territories, enabling them

to communicate securely and exchange standardised financial messages in a

reliable way. As their trusted provider, we facilitate global and local

financial flows, support trade and commerce all around the world; we

relentlessly pursue operational excellence and continually seek ways to lower

costs, reduce risks and eliminate operational inefficiencies. Headquartered in

Belgium, SWIFT's international governance and oversight reinforces the neutral,

global character of its cooperative structure. SWIFT's global office network

ensures an active presence in all the major financial centres.

Visit www.swift.com or follow us on Twitter: @swiftcommunity

(https://twitter.com/swiftcommunity) and LinkedIn: SWIFT

(http://www.linkedin.com/company/swift)

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swift@cognitomedia.com

+44-(0)20-7426-9400

SOURCE  S.W.I.F.T.SCRL