Cross-Border Real-Time Payments Pilot Launched by EBA, SWIFT, TCH

A pilot program for immediate cross-border (IXB) payments is being launched by EBA CLEARING, SWIFT and The Clearing House (TCH), garnering banking support from the U.S., the U.K. and western Europe, according to a press release emailed to PYMNTS on Thursday (April 28).

Anticipated to launch before the end of 2022, the pilot will be introduced in phases to accommodate 24 financial institutions, some of which are joining the pilot.

The three private sector firms owned by member banks are developing the pilot as part of their IXB initiative to enable faster, smoother global money transfers by tapping options available in domestic payments. The initial proof of concept was finished last October with input from seven banks. Eleven financial institutions participated in the design of the system.

Related: EBA, SWIFT, TCH, Collaborate To Make Cross-Border Payments Faster

“The RT1 and RTP® networks are perfectly positioned to deliver a better cross-border experience with a very short time to market,” said Russ Waterhouse, Executive Vice President for Product Development and Strategy at TCH. ”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.”

Headquartered in New York, TCH’s payments network clears and settles in excess of $2 trillion daily through wire, ACH, check image, and real-time payments. Its signature product, the RTP® network, supports the immediate clearing and settlement of payments. Launched in 1853, the banking association and payments company is owned by the largest commercial banks.

“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,” said Erwin Kulk, Head of Service Development and Management at EBA CLEARING. 

EBA CLEARING is a pan-European payment infrastructure solutions firm founded in 1998 and owned by 48 financial institutions across Europe.

“The interlinking of instant payment systems promises a new way of moving money across borders safely, quickly and at low cost,” said David Watson, Chief Strategy Officer at SWIFT. 

SWIFT is based in Belgium and is a global member-owned cooperative and the world’s leading provider of secure financial messaging services. Its platform, products and services connect over 11,000 banking and securities organizations, market infrastructures and corporate customers in more than 200 countries and territories.

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