The institutions participating in the European pilot include Banque Internationale à Luxembourg, BBVA, Deutsche Bank, Natixis, Santander, Sberbank and UniCredit.
The European Central Bank (ECB) and Swift have launched this initiative with the aim to extend the reach of instant cross-border payments deeper into the European market. Banks will carry the cross-border legs of the payments, which they will then settle through TIPS, allowing for instant crediting of accounts at ultimate beneficiary banks across Europe.
Since its launch in 2017, Swift says that gpi is ensuring that, on average, 40% of Swift gpi payments are credited to end beneficiaries within five minutes.
A similar arrangement was trialled by SWIFT in 2018 with Australia’s domestic instant payment system, the New Payments Platform (NPP), and a group of banks from Australia, China, Singapore and Thailand.
SWIFT is now working with its community to extend the scope of this initiative to other real-time systems around the world.
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