Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives
Purpose: Money laundering can affect global macroeconomic projections, currency markets, and financial stability by fueling shadow economies. Thus, the efficiency of the Anti-Money Laundering (AML) procedure must be investigated. Understanding such elements may help prevent money laundering. This ne...
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| Format: | Article |
| Language: | English |
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Department of Finance, Faculty of Commerce and Management Studies, University of Kelaniya
2023-07-01
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| Series: | South Asian Journal of Finance |
| Subjects: | |
| Online Access: | https://account.sajf.sljol.info/index.php/sljo-j-sajf/article/view/53 |
| _version_ | 1797743250191155200 |
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| author | G. Biswakarma P. Bhusal |
| author_facet | G. Biswakarma P. Bhusal |
| author_sort | G. Biswakarma |
| collection | DOAJ |
| description | Purpose: Money laundering can affect global macroeconomic projections, currency markets, and financial stability by fueling shadow economies. Thus, the efficiency of the Anti-Money Laundering (AML) procedure must be investigated. Understanding such elements may help prevent money laundering. This necessitates studies to raise awareness and emphasize its importance. This study sought to assess customer understanding and examine the factors that affect the efficient application of AML regulations in Nepalese banks.
Design/Methodology/Approach: This study includes responses from 201 bank consumers and 156 bank employees. The study focused on customers' AML awareness and how bank employees implement AML regulations in their respective banks.
Findings: According to the study, consumers apprehend money laundering, terrorist financing, and their implications. According to bank employees, customers are unaware of money laundering and its consequences. Banking and financial institutions should prioritize education and awareness to improve the implementation of anti-money laundering regulations. Control over company sophistication, business ethics, customer awareness, and the AML system all have a favorable influence on Nepali banks' AML policies. The analysis reveals that business sophistication control is quite important.
Originality: The study focused on consumer and employee AML knowledge, revealing ground-level perspectives. The study found the variables related to the bank's management and compliance department's views on AML policy implementation. This research assists government agencies and policymakers in developing national anti-money laundering measures and aids academics in AML procedure implementation. |
| first_indexed | 2024-03-12T14:52:48Z |
| format | Article |
| id | doaj.art-7fcd211d98004b699403f2fee3273299 |
| institution | Directory Open Access Journal |
| issn | 2719-2547 |
| language | English |
| last_indexed | 2024-03-12T14:52:48Z |
| publishDate | 2023-07-01 |
| publisher | Department of Finance, Faculty of Commerce and Management Studies, University of Kelaniya |
| record_format | Article |
| series | South Asian Journal of Finance |
| spelling | doaj.art-7fcd211d98004b699403f2fee32732992023-08-15T08:49:18ZengDepartment of Finance, Faculty of Commerce and Management Studies, University of KelaniyaSouth Asian Journal of Finance2719-25472023-07-01311–221–2210.4038/sajf.v3i1.5331Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer PerspectivesG. Biswakarma0https://orcid.org/0000-0003-0389-0486P. Bhusal1Tribhuvan University, KathmanduTribhuvan University, KathmanduPurpose: Money laundering can affect global macroeconomic projections, currency markets, and financial stability by fueling shadow economies. Thus, the efficiency of the Anti-Money Laundering (AML) procedure must be investigated. Understanding such elements may help prevent money laundering. This necessitates studies to raise awareness and emphasize its importance. This study sought to assess customer understanding and examine the factors that affect the efficient application of AML regulations in Nepalese banks. Design/Methodology/Approach: This study includes responses from 201 bank consumers and 156 bank employees. The study focused on customers' AML awareness and how bank employees implement AML regulations in their respective banks. Findings: According to the study, consumers apprehend money laundering, terrorist financing, and their implications. According to bank employees, customers are unaware of money laundering and its consequences. Banking and financial institutions should prioritize education and awareness to improve the implementation of anti-money laundering regulations. Control over company sophistication, business ethics, customer awareness, and the AML system all have a favorable influence on Nepali banks' AML policies. The analysis reveals that business sophistication control is quite important. Originality: The study focused on consumer and employee AML knowledge, revealing ground-level perspectives. The study found the variables related to the bank's management and compliance department's views on AML policy implementation. This research assists government agencies and policymakers in developing national anti-money laundering measures and aids academics in AML procedure implementation.https://account.sajf.sljol.info/index.php/sljo-j-sajf/article/view/53corporate socialresponsibility disclosurecorporate governanceglobal reportinginitiative listed companiessri lanka |
| spellingShingle | G. Biswakarma P. Bhusal Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives South Asian Journal of Finance corporate social responsibility disclosure corporate governance global reporting initiative listed companies sri lanka |
| title | Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives |
| title_full | Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives |
| title_fullStr | Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives |
| title_full_unstemmed | Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives |
| title_short | Banks’ Level Factors Affecting the Effective Implementation of Anti-Money Laundering Practices in Nepalese Banks: An Employee and Customer Perspectives |
| title_sort | banks rsquo level factors affecting the effective implementation of anti money laundering practices in nepalese banks an employee and customer perspectives |
| topic | corporate social responsibility disclosure corporate governance global reporting initiative listed companies sri lanka |
| url | https://account.sajf.sljol.info/index.php/sljo-j-sajf/article/view/53 |
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