No discussion of better risk management would be complete without mentioning derivatives and the technologies that spawned them and so many other changes in banking and finance. Derivatives have permitted financial risks to be unbundled in ways that have facilitated both their measurement and their management.
Once this is implemented across the banks and FIs, it would be feasible to move towards a centralised KYC Registry, which will eliminate duplication of efforts and refine the KYC/AML/CFT verifications across the financial system. The industry is also looking to Aadhaar database for compliance of KYC/AML/CFT requirements. UIDAI now provides an e-KYC service, through which the KYC process can be performed electronically.