SAARC central bankers militate for better payment & settlement system

Monday 12 May 2014 00:59 CET | News

Central bankers of the South Asian countries have reached an agreement on the enforcement of payment and settlement system (PSS) in the SAARC region.

They have reached a mutual consensus upon the need to bring about reforms in domestic as well as cross-border payment and settlement system through close coordination and cooperation.

In the SAARC region payments are subject to domestic regulations which keep on changing, thus creating challenges for cross-border payments because of varying rules between an originating and receiving country. A greater coordination of payment system among SAARC members is necessary to streamline the long journey of fuller economic integration as expressed in the aim for attaining South Asian Economic Union.

A payment and settlement system refers to system of transfer of a payer’s monetary claim on a party acceptable to the payee. Typically, claims take the form of banknotes or deposit balances held at a financial institution or at a central bank.

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Keywords: SAARC, bankers, payment, settlement, online, payments
Categories: Payments & Commerce
Countries: World
This article is part of category

Payments & Commerce