If correspondent banking is not the future – What is?
At regular intervals the long-term survival of the current correspondent banking model is questioned. Whilst initiatives like SWIFTgpi improve the speed, transparency and traceability of cross-border payments and non-banks offer alternative payment services, they still rely on the underlying settlement mechanism of nostro-vostro accounts held by correspondent banks. At the same time, compliance and KYC costs are leading banks to revisit and rationalise their correspondent network. Following up to one of the most popular Sibos sessions last year, come find out the different visions for the future of the correspondent banking model. Which alternative options exist? And is the desire from banks and end-customers for a new platform great enough to make such fundamental change?