Final answer:
The SWIFT code, also known as BIC, is used to uniquely identify banks and financial institutions globally and is key in international financial transactions.The ABA routing number is for domestic transactions in the U.S., and the IBAN facilitates cross-border transactions. A correspondent bank also uses SWIFT codes to provide services for international transactions.
Step-by-step explanation:
The unique address that identifies foreign financial institutions involved in international financial transactions is the SWIFT code. This code is a standard format of Business Identifier Codes (BIC) and is used to uniquely identify banks and financial institutions globally. It plays a crucial role in ensuring that international transactions are processed smoothly.
The ABA routing number is used primarily within the United States to identify the specific financial institution responsible for the payment of a negotiable instrument. The International Bank Account Number (IBAN) is a standard international numbering system for bank accounts that aims to facilitate the processing of cross-border transactions. A correspondent bank is a bank that provides services to another bank, often to facilitate international transactions or provide access to foreign financial markets, and uses SWIFT codes for identification.