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Comment on New Study Reveals the True Cost of Financial Crime Compliance by Will Generative AI Fundamentally Reshape Banking? - Fintech Singapore
['Fintech News Singapore']
Comments for Fintech Singapore
These findings, shared in the True Cost of Financial Crime Compliance Report – 2023, draw on results of a 2023 survey of more than 1,100 global decision-makers that sought to examine how financial institutions are navigating the expenses and challenges ties to evolving financial crime compliance requirements.
In North America and Latin America, financial institutions reported a strong uptake in financial crime involving cryptocurrencies, while in Asia-Pacific (APAC), institutions reported being particularly vulnerable to financial crime involving digital payments (65%) and AI (60%), stating that they’ve observed a stronger uptake than any other region.
Financial institutions embrace data analyticsThe ever-evolving technological and economic environment has transformed the compliance landscape for financial institutions and pushed costs further up.
98% of the institutions polled this year by LexisNexis Risk Solutions reported an increase in financial crime compliance spending, which reached a total annual cost of US$206 billion, the study found.
Of the financial institutions surveyed, 83% of respondents revealed that they are prioritizing harnessing enriched payment data to fight complex financial crimes.
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