The international standards of customer due diligence and Chinese practice

摘要

Purpose – The purpose of this paper is to systematically introduce the latest documents of customer due diligence (CDD) issued by international organizations and developed countries, and to examine practice of CDD in China. Design/methodology/approach – This paper reviews the latest regulations and guidelines of CDD at international level, and critically examines the practice on CDD compliance in China. Findings – Although China has developed series of provisions concerning CDD since 2007 to response the international requirement set by Financial Action Task Force, the practical compliance still has long way to improve. Originality/value – This paper usefully highlights the difference between Chinese practice and international standards, and proposes institutional reforms on CDD compliance in Chinese financial sectors.