Välityspankit

Välityspankit, often translated as intermediary banks or correspondent banks, play a crucial role in facilitating international financial transactions. They are financial institutions that provide services to other banks, enabling them to conduct business in foreign markets where they may not have a physical presence or direct banking relationships.

The primary function of a välityspankki is to act as a bridge between two banks in different countries. When a customer of Bank A in Country X wants to send money to a recipient at Bank B in Country Y, and Bank A does not have a direct relationship with Bank B, Bank A will often use an intermediary bank. This intermediary bank, which has established accounts and relationships with both Bank A and Bank B, will process the transaction on their behalf.

This process typically involves the välityspankki holding accounts for foreign banks. Bank A would send the funds to its välityspankki, which then credits the account of Bank B's välityspankki. The intermediary bank then settles the funds with Bank B. This network of correspondent banking relationships allows for the smooth flow of money across borders, supporting international trade and remittances.

Välityspankit are essential for the global financial system, providing liquidity and enabling accessibility to financial services for banks of all sizes. They handle various types of transactions, including wire transfers, foreign exchange, and trade finance. The absence of välityspankit would significantly complicate and slow down international payments, making global commerce much more challenging.