Financial crime risk control remains a great challenge for financial institutions as they often have limited time and resources to identify and manage associated risks in providing trade finance to businesses. Implementing robust controls and risk-based approaches in handling these transactions are essential.
In relation to this, the International Chamber of Commerce (the "ICC") has recently published two papers which provide updated discussions on (i) dual-use goods and proliferation financing1 (the "Dual-use Goods Paper") and (ii) price checking of goods and services in trade transactions2 (the "Price Checking Paper") (together the "ICC Papers"). The ICC Papers are mainly directed at financial institutions, but the comprehensive analyses therein are equally applicable to any participant in the trade business.
Click here to read more.
1 ICC (2023), Financial crime risk controls – Dual-use goods and proliferation financing. https://iccwbo.org/news-publications/policies-reports/global-trade-receivables-finance-mitigate-proliferation-financing/
2 ICC (2023), Financial crime risk controls – Price checking of goods and services in trade transactions. https://iccwbo.org/news-publications/policies-reports/financial-crime-risk-controls-price-checking-of-goods-services-in-trade-transactions/#:~:text=ICC recognises the challenges faced
