Some 76% of the 2,000-plus institutions questioned confirmed they would increase spending on AML compliance over the next three years. The survey also said that, although 70% of financial sector organisations had an effective system in place for monitoring suspicious transactions, it remains one of the top priorities for further investment, along with the introduction of automated AML solutions.
India's escalating global exposure has been blamed for the increase in the risk of money laundering in the country, which has led to this sudden need to increase spending in AML compliance. The KPMG report stated Indian firms will be focusing on adopting international best practice standards for AML compliance. It concluded that, while India's banks and financial institutions have made substantial advances in AML compliance, there is still scope for "significant investment and improvement".