Amman, April 29 (Petra) -- The Union of Arab Banks (UAB) has entered into a strategic alliance with VALOORES, a provider of enterprise artificial intelligence and regulatory solutions, to deploy a next-generation compliance and financial crime-fighting framework across the Middle East banking sector.

The partnership aims to modernize the region’s regulatory infrastructure by integrating AI-powered systems to combat money laundering, terrorist financing, and institutional fraud. The initiative combines VALOORES’ three decades of experience in machine learning and big data analytics with the UAB’s regional institutional reach.

The alliance is set to build an integrated regional model for corporate compliance designed to meet increasingly complex international standards. The joint initiative will provide an advanced infrastructure covering Anti-Money Laundering and Counter-Terrorism Financing (AML/CFT) protocols, AI-enhanced "Know Your Customer" (KYC) solutions, and systems for the Foreign Account Tax Compliance Act (FATCA) and International Financial Reporting Standards (IFRS 9).

UAB officials stated that the new system will offer real-time monitoring and auditing tools, providing banks with traceable audit trails and smart dashboards to enhance transparency and institutional performance.

The AI-managed infrastructure is specifically engineered to satisfy the rigorous oversight requirements of global regulatory bodies, including the Financial Action Task Force (FATF), the U.S. Federal Reserve, the International Monetary Fund (IMF), and the Basel Committee on Banking Supervision. It will also align with the national monetary authorities across the Gulf Cooperation Council (GCC), the Levant, and North Africa.

A central component of the collaboration is the establishment of the "AI in Financial Services Institute," a regional center of excellence to be co-managed by the UAB and VALOORES. The institute will serve as a hub for research and development, professional certification, and the responsible expansion of AI applications in the banking industry.

The platform will grant member banks of the UAB access to globally tested industrial solutions designed to address the most pressing challenges in risk management and regulatory reporting. This move is expected to bolster the Arab banking sector’s resilience and efficiency amid rapid global financial and technological shifts.

//Petra// AF