Former deputy governor
Central Bank of Lebanon
Correspondent Banking is one of the core areas of International Banking activities of any major bank that is involved either in financing international trade transactions or facilitating payments and transfers beyond borders for its clients, corporate and institutional or interbank transactions in dealing in foreign exchange, money and capital market activities and their derivatives or in establishing nostro accounts and other operating investment and brokerage transactions.
Correspondent Banking is also important for domestic banking relationship and has almost the same type of client-bank and bank to bank relationship characteristics. Major financial center banks in the USA, Europe and the Far East attract thousands of domestic and international banks looking for services and products. (See appendix 2, the role of the correspondent Banker).
