World Bank, IMF Propose to Combat Money Laundering Across ‘Remittance Corridors’

As international regulators work to enhance cross-border payments, the World Bank and the International Monetary Fund today proposed a framework for conducting risk assessments of various remittance corridors, with the ultimate goal of developing “safe remittance corridors.”

Among other things, the groups outlined the overarching considerations for conducting such assessments, defining the scope of the assessments, identifying opportunities for international cooperation and approaching data collection.

“This process is mainly about the assessment and identification of lower risks as the basis for [customer due diligence]simplifications on a policy and regulatory level, and communication of the assessment results to the private sector to assist with their own customer risk assessment,” the groups said in their report. “It does not necessarily require formal declaration of a ‘safe remittance corridor’ by any national or supranational agency.”