- EBA CLEARING, The Clearing House and SWIFT are all set to work together on a new pilot project for cross-border payments.
- There are more than 20 financial institutions from Europe and North America that are involved in the new project.
- “The trans-Atlantic pilot service will provide valuable input for the development of a fully-fledged IXB service to meet customer expectations across the globe,” said a senior figure at The Clearing House.
A group of payment clearing service organisations have confirmed that they will work together on a new pilot service for instant cross-border payments.
EBA CLEARING, The Clearing House and SWIFT said that they will work together on the project, which is set to go live by the end of 2022.
The project aims to create the framework for instant cross-border payments with assistance from a range of financial institutions.
There are over 20 financial institutions, and these are drawn from both Europe and North America.
It is believed that the service will initially focus on instant payments in the currency corridor that runs between the single European currency and the US dollar.
In a statement, a senior figure at The Clearing House said that the networks involved in the new system would be ideal for the development of improved cross-border payment experiences.
Russ Waterhouse, who is the executive vice president for product development and strategy, pointed out that this was happening in the context of “a very short time to market”.
“The RT1 and RTP networks are perfectly positioned to deliver a better cross-border experience with a very short time to market,” he said.
He went on to say that the new pilot service would be helpful when it came to building the larger, “fully-fledged” system in the future.
“The trans-Atlantic pilot service will provide valuable input for the development of a fully-fledged IXB service to meet customer expectations across the globe,” he explained.
Erwin Kulk, the head of service development and management at EBA CLEARING, said that it was a positive thing that there were over 20 banks from around the world involved in the new scheme.
“We are pleased that the IXB development benefits from the expert input of 24 banks from 10 countries,” he said.
He added that the service would be easy to use and “transparent” – and that it was helpful because it did not require connection to other payment services.
“Aside from delivering a simple and transparent service for end users, our key aim is to keep things easy for financial institutions: the fact that there is no need to connect to a separate payment system should make the service very attractive for RT1 and RTP participants of all sizes,” he said.
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