KYC norms must be used to combat black money: RBI deputy governor
May 23 2014 , Hyderabad
He was at Hyderabad on Friday to address on 'Know your customer: A balance between compliance and convenience' at the Federation of Andhra Pradesh Chambers of Commerce and Industry.
“International obligations and inter-regulatory consensus built via the United Nations resolutions, Basel committees on banking supervision and the financial action task force also require that we put in place elaborate KYC framework in India,” he said.
According to him, the KYC framework will be relevant to the perceived risk and was not intrusive in nature.
"RBI’s aim is to safeguard banks from being used by criminals for money laundering activities and to enable banks to understand the risk posed by customers, products, services, delivery channels and help them manage their risk prudently," he said.