## Issues in Electronic Banking: An Overview

_IMF Policy Discussion Papers, March 1, 2002_

## Source details

**Canonical URL:** [Issues in Electronic Banking: An Overview](https://www.imf.org/en/publications/imf-policy-discussion-papers/issues/2016/12/30/issues-in-electronic-banking-an-overview-15689)

## Other formats

- [Markdown version](/en/publications/imf-policy-discussion-papers/issues/2016/12/30/issues-in-electronic-banking-an-overview-15689/index.md)
- [Structured JSON version](/en/publications/imf-policy-discussion-papers/issues/2016/12/30/issues-in-electronic-banking-an-overview-15689/index.json)
- [Bundle manifest](/en/publications/imf-policy-discussion-papers/issues/2016/12/30/issues-in-electronic-banking-an-overview-15689/bundle-manifest.json)

## Bibliographic details
- Authors: Andrea Schaechter
- Published: March 1, 2002
- Series: IMF Policy Discussion Papers
- DOI: https://doi.org/10.5089/9781451972177.003

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### Summary
- Author: Andrea Schaechter
- Publication date: March 1, 2002
- This paper provides an overview of issues resulting from the development of electronic banking and how they are currently being addressed by regulatory and supervisory authorities.
- Electronic banking enables offering banking services around the world 24 hours a day.
- The dependence on technology for providing services with the necessary security, and the cross-border nature of transactions, involve additional risks for banks and new challenges for banking regulators and supervisors.

### Major issues and risks identified
- Dependence on technology for service delivery and security.
- Cross-border nature of transactions creating supervisory and regulatory challenges.
- Operational risk arising from electronic delivery channels.
- Reputational risk linked to electronic banking failures or breaches.
- Money laundering concerns in electronic channels.
- Exchange rate risk associated with global electronic transactions.
- Implications for banking regulation and banking supervision.
- Customer relationship and customer protection challenges in e-banking contexts.
- Emergence of virtual bank and Internet banking models versus traditional "mortar bank" structures.

### Focus of the paper
- Provides an overview rather than prescriptive rules.
- Describes how regulatory and supervisory authorities are currently addressing the identified issues.
- Emphasizes the global nature of electronic banking and the cross-cutting policy areas: Banking, Crime, Exchange rate risk, Financial institutions, Financial regulation and supervision, Money laundering, Operational risk, Reputational risk, Securities.

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## Content in this bundle

- **Issues in Electronic Banking:  An Overview - PDP/02/6**
  - [Issues in Electronic Banking:  An Overview - PDP/02/6 (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/pdp/2002/_pdp06.pdf.md){rel="alternate" type="text/markdown"}
  - [Issues in Electronic Banking:  An Overview - PDP/02/6 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/pdp/2002/_pdp06.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/imf-policy-discussion-papers/issues/2016/12/30/issues-in-electronic-banking-an-overview-15689_