PSW partners with FTSL for digital price verification solution

October 10, 2024 (MLN): Pakistan Single Window (PSW) has entered into a collaboration agreement with Fintech Transformation Services (Private) Limited (FTSL) to provide a new digital solution to commercial banks in Pakistan for price verification of imported and exported goods.

The solution will bolster the capability of commercial banks to comply with State Bank of Pakistan’s Framework for Managing Risks of Trade-Based Money Laundering (TBML) and Terrorist Financing (TF).

The solution enables banks to leverage advanced data analytics built on international and national trade data, improving their price assessment mechanism when approving financial transactions related to international trade.

SBP’s Framework emphasizes the responsibility of Authorized Dealers (ADs) to adopt robust, technology-driven solutions to mitigate Money Laundering / Terrorist Financing risks. It specifically focuses on the verification of goods' pricing—a critical aspect in ensuring the integrity of trade practices and enhancing the reliability of the international supply chain.

The commercial banks dealing with international trade finance have traditionally relied on international databases, local market data, and online search engines to verify the goods prices.

Leveraging its position as the single largest data repository of cross-border trade data in the country, PSW has been exploring digital solutions to support banks carry out this important function in a more reliable manner.

Accordingly, it has partnered with FTSL to enhance its existing solution Trade Compliance Navigator (TCN) to introduce “TCN – Pakistan Trade Data Analytics.”

TCN is an automated solution that utilizes international data sources and performs advanced data analytics that enables financial institutions to execute price verification efficiently.

The collaboration with PSW greatly enhances the solution’s efficacy and analytical capabilities by integrating national trade data, providing financial institutions with a powerful automated tool enriched with reliable data.

TCN is expected to significantly enhance transparency of trade transactions, thereby reducing the risks associated with trade-based money laundering and contributing to a more secure financial environment.

This integration enables TCN to offer dual-use goods screening and vessel compliance capabilities.

FTSL is a Karachi-based fintech company that provides technology solutions and services to organizations, including business analysis and redesign, systems implementation, and ongoing evaluation of technology tailored for the financial sector.

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