Correspondent banking - final report

July 2016

The Committee on Payments and Market Infrastructures has issued the final report on Correspondent banking. This builds on an earlier version of the report that underwent public consultation in late 2015 and helps alleviate some of the costs and concerns affecting correspondent banking activities.

The report provides some basic definitions, outlines the main types of correspondent banking arrangement, summarises recent developments and touches on the underlying drivers. The report then develops recommendations on certain measures relating to (i) know-your-customer (KYC) utilities; (ii) use of the Legal Entity Identifier (LEI) in correspondent banking; (iii) information-sharing initiatives; (iv) payment messages; and (v) use of the LEI as additional information in payment messages.