Validating identity key for digital: Build a KYC database to prevent fraud

MD for risk & supply chain at Thomson Reuters, Cotter says simply collecting documents won't cut it

PHIL COTTER, managing director, risk & supply chain, Thomson Reuters, has important advice for Indian policy makers. In a conversation with Rajesh Bhayani, he spoke about actions required to tackle money laundering and how central banks and other government entities are scaling up regulations worldwide.

India is giving a big push to digital transactions after demonetisation. What issues need to be addressed to achieve success?

As digital transactions pick up, there must be an increased focus on validating the identity of customers. Therefore, know your customer (KYC) becomes a very critical process for all financial institutions. Most financial institutions may argue