The Influence of Global Financial Regulations on Cross-Border Banking Operations

Abstract

Global financial regulations have a profound impact on cross-border banking operations, shaping the policies and practices of financial institutions involved in international transactions. These regulations aim to ensure financial stability, transparency, and compliance across jurisdictions while minimizing systemic risks. However, they also present challenges, including increased compliance costs, operational complexities, and constraints on profitability. This paper explores how international regulatory frameworks, such as the Basel Accords, Anti-Money Laundering (AML) policies, and Know Your Customer (KYC) requirements, influence the operational strategies of cross-border banks. The discussion highlights both the benefits and challenges of navigating these regulations and examines the evolving landscape of global financial governance in the context of international banking.