The Banking Executive Magazine - December 2025 Issue

PSD 2025 MR. MOHAMED EL ETREBY, CHAIRMAN, UNION OF ARAB BANKS In his keynote remarks, Mr. El Etreby expressed an optimistic yet resolute tone about the evolving role of com- pliance in modern finance. He noted that each year the U.S.–MENA PSD strengthens “the bridge between the Arab region and the United States – a bridge built on trust, cooperation, and a shared commitment to safe- guarding the integrity of the global financial system”. Acknowledging the conference theme, he observed that we live in an age of exponential change – with new technologies disrupting finance, shifting geopolit- ical currents, and threats from finan- cial crime, cyber-attacks, and sanctions testing institutional re- silience. In this context, “with chal- lenge comes opportunity.” Compliance, once viewed as a regu- latory burden, is now “the passport to credibility, sustainability, and growth in global markets”, and the foundation upon which trust is built – with trust itself “the very currency of modern finance”. El Etreby out- lined the remarkable transformation of the compliance function over the past two decades: what began as a narrow focus on AML and KYC has expanded into a comprehensive framework encompassing counter- terrorism financing, sanctions, tax transparency, cyber-security, and even ESG considerations. Compli- ance is no longer reactive, he stressed, but has become predictive and technology-driven, leveraging advanced analytics, real-time trans- action monitoring, artificial intelli- gence, and blockchain solutions to detect anomalies and mitigate risks before they escalate. This evolution means compliance is a “living, adap- tive system” that must continuously evolve to counter increasingly so- phisticated threats. Crucially, Mr. El Etreby emphasized that Arab banks are not standing idle in this evolution. “We are moving forward,” he said, “transforming compliance from a defensive shield into a proactive driver of innovation, resilience, and competitiveness.” Re- gional banks are investing in people, by training new generations of com- pliance leaders, and harnessing tech- nology – deploying AI, machine learning, and RegTech tools – to stay ahead of emerging risks. They are also embracing transparency not merely to satisfy regulators but be- cause customers, partners, and soci- eties demand it. The vision, as El Etreby articulated, is for the MENA region to not just meet international standards but to set an example of compliance leadership, leveraging the region’s youthful energy and po- tential to be at the forefront of global best practices. He highlighted the PSD as more than just a conference – rather, “the US-MENA Dialogue is the BANKING EXECUTIVE 30 ISSUE 204 DECEMBER 2025 HIGHLIGHTS FROM THE OPENING SPEECHES