Economic sanctions – continued and emerging risks

Not only have sectoral sanctions sparked a considerable rise in proscribed entities but compliance officers also need to consider far more detail about products, services and transactions. Neal Dawson reports on how to manage challenging complexity amid a shifting political environment.

Neal Dawson (neal.dawson@kpmg.co.uk) is KPMG’s UK head of AML and sanctions. The views expressed here are his own.

Economic sanctions remain an area of significant risk for institutions, and as we look to the future there is one challenge that pervades across the landscape. In a single word, complexity. Complexity of the regulatory environment that multinational firms have to operate in, complexity in the technology solutions that firms rely upon to keep themselves safe, and the complexity that comes from operating in an increasingly fragmented and cost-constrained environment. We will explore each of these in turn, highlight the major pitfalls to be aware of, and discuss the opportunities that firms can seize hold of as they navigate through this landscape.