Automation in Action: ING Bank

AI-based Automated Document Checking Provides a Major Boost for ING’s Trade Efficiencies

ING Bank has a well-deserved reputation as one of the world’s most innovative and tech-savvy banks. As such, it is constantly looking to see where innovation—and in particular automation—can add efficiencies, especially in trade finance, where ING is also regarded as a leader.

Yet, one area of trade finance that has so far resisted digitalization is the checking of documents such as bills of lading and letters of credit. Supply chains, especially those involving small emerging market manufacturers in poorer countries of regions like South and Southeast Asia, still rely on paper-based documentation and are expected to continue doing so for the foreseeable future.

Banks alone cannot solve this problem. However, they can approach it with fresh thinking, which is exactly what ING has done. Rather than attempting to convert the entire supply chain to digital documentation, ING’s innovation focus has led them to seek efficiencies within the existing documentary checking process. The bank acknowledges that electronic documentation is not yet viable for certain supply chain markets and participants, so it aims to improve the current process and liberate its staff for more meaningful work.

Partnering with Conpend, an Amsterdam-based banking software specialist, ING has explored AI-based automation solutions for the routine aspects of documentary processing. These solutions include checking for compliance with ICC rules, BAFT AML guidelines, and regulatory sanctions screening, including for OFAC in the U.S.

The introduction of automation also addresses the increased regulatory burden on trade financiers since the 2008 financial crisis, which has led to more compliance checks and higher risks of non-compliance. For ING Bank, automating the checking process while continuing to handle paper-based documentation has proven to be highly advantageous.