Commonwealth Bank of Australia (CBA) has announced an investment in Global Screening Services (GSS), a UK-based regtech company that focuses on payments screening.

The Australian bank’s investment is part of the regtech company’s $47m Series A2 capital raising.

Through the investment, CBA has secured a minority shareholding in Global Screening Services. The financial terms of the commitment have not been revealed.

Established in 2021, Global Screening Services offers sanctions compliance and transaction screening solutions for financial institutions. The solutions are developed to mitigate duplication of processes and error rates in the screening process.

The firm intends to enhance effectiveness and proficiency in international payments and create seamless payment flows to benefit bank customers.

Global Screening Services CEO Tom Scampion said: “Sanctions screening is both an international security imperative and one of the major sources of friction in the global payment system – at a time when customers and businesses are increasingly demanding real-time payments. We are excited to be working with a bank of the stature of CBA.”

According to CBA, it is the only Australian investor in Global Screening Services. The bank intends to extend its support for innovative sanctions compliance technology through the investment.

Besides, CBA is a member of Global Screening Services’ advisory board which comprises over 30 global banks.

As part of the commitment in the regtech firm, the Australian bank will also appoint an observer to the company’s main board.

CBA group chief risk officer Nigel Williams said: “The investment in GSS is part of the bank’s ongoing commitment to innovation to deliver better customer experiences.

“Following this investment, we are assessing the system for application in international payment flows.”