PR Newswire
15 Sep 2022, 05:30 GMT+10
Sixty-Nine Percent (69%) of Financial Institutions Indicate Transparency Issues Affect Underserved Customers
ATLANTA, Sept. 15, 2022 /PRNewswire/ -- LexisNexis Risk Solutions revealed the results of its 2022 Financial Transparency and Inclusion Report. The survey of banks, insurers and non-bank financial institutions in 13 countries and regions aims to better understand financial institutions' commitment to financial transparency and financial inclusion and the challenges they face in achieving these twin goals.
Financial inclusion is a global issue. According to The World Bank, there are 1.4 billion unbanked individuals globally and the financial services industry faces challenges decreasing this number. There are many factors affecting financial inclusion: Poverty, a thin credit file, living in a cash-based society, history of bad debt and/or a lack of financial education can all impede access to financial services.
One way to convert the unbanked to a banked customer is to improve financial transparency. Financial institutions need the ability to identify consumers and understand their risk profiles, both to maintain regulatory compliance and support extending financial services to consumers. The more institutions understand about consumers, the easier it is to offer appropriate financial services. However, 69% of respondents agree that the unbanked or underbanked are harder to onboard than other types of customers and businesses due to lack of data.
The report reveals that financial institutions can do more to achieve greater transparency, indicated by the 64% of respondents who say identity verification is a challenge when onboarding individuals.
Key Findings from the Report:
"Financial institutions have clear responsibilities to verify customer identities and ensure compliance with national and international regulation," said Leslie Bailey, vice president, financial crime compliance, LexisNexis Risk Solutions. "Rejecting potential customers due to inefficient or manual processes rather than regulatory reasons can be detrimental to genuine individuals trying to access financial services. With robust data and the right technology and processes in place, institutions can help improve global rates of financial inclusion without compromising on compliance."
2022 Financial Transparency and Inclusion Report
LexisNexis Risk Solutions and research and advisory firm Celent designed the Financial Transparency and Inclusion Survey. Celent provided analysis around the results. The online survey was conducted in late 2021 and received 297 completed responses globally from c-suite and other senior leaders with responsibility for compliance, retail and commercial areas.
Download a copy of the 2022 Financial Transparency and Inclusion Report.
About LexisNexis Risk Solutions
LexisNexis Risk Solutions harnesses the power of data and advanced analytics to provide insights that help businesses and governmental entities reduce risk and improve decisions to benefit people around the globe. We provide data and technology solutions for a wide range of industries including insurance, financial services, healthcare and government. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX), a global provider of information-based analytics and decision tools for professional and business customers. For more information, please visit www.risk.lexisnexis.com and www.relx.com.
Media Contact:
Marcy Theobald
678.694.6681
[email protected]
SOURCE LexisNexis Risk Solutions
Get a daily dose of Asia Pacific Star news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Asia Pacific Star.
More InformationHONG KONG: China has fired back at the European Union in an escalating trade dispute by imposing new restrictions on medical device...
WASHINGTON, D.C.: President Donald Trump says the United States could soon reach a trade deal with India. He believes this deal would...
(250708) -- RAYONG, July 8, 2025 (Xinhua) -- Liu Xueliang, general manager of BYD's Asia-Pacific Auto Sales Division, addresses a ceremony...
At the 17th BRICS Summit, leaders emphasized strengthening multilateralism, reforming global governance, and empowering the Global...
Phnom Penh [Cambodia], July 8 (ANI): Union Minister of State for External Affairs, Pabitra Margherita, on Tuesday visited the Royal...
(250708) -- YONGIN, July 8, 2025 (Xinhua) -- Head coach of Team China Ante Milicic, head coach of Team South Korea Shin Sang-Woo, head...
NEW DELHI, India: Birkenstock is stepping up its efforts to protect its iconic sandals in India, as local legal representatives conducted...
HONG KONG: China has fired back at the European Union in an escalating trade dispute by imposing new restrictions on medical device...
NEW YORK, New York - Monday's trading session saw mixed performances across U.S. and global markets, with several major indices posting...
WASHINGTON, D.C.: The U.S. government has granted GE Aerospace permission to resume jet engine shipments to China's COMAC, a person...
DUBAI, U.A.E.: Saudi Aramco is exploring asset sales as part of a broader push to unlock capital, with gas-fired power plants among...
MILAN, Italy: Italian regulators have flagged four non-EU countries—including Russia—as carrying systemic financial risk for domestic...