Stringent regulations are having more of an impact on the global financial services marketplace, with a marked decrease in correspondent banking relationships, linked to de-risking by the world’s ‘premier league’ banks. In this interview with Fintech Finance for Money20/20, Bob McKay, MD for Accuity, looks at the unintended consequences of regulation, which includes a two-tier global financial payments system. If this does indeed happen, what will its effects be on financial crime and small, local businesses – will the former increase while the latter decreases?
For Bob Mckay, these challenges provide an opportunity for banks and fintech firms to work together and attenuate the risk, using some of the new technologies currently in development, such as blockchain innovation. There is also an increasing need for accurate, reliable data aimed at both large corporations and smaller players who are only now entering the global transactions market.