Euro Banking Association appoints SIA to build cross-border ACH
The Euro Banking Association has appointed Italy’s SIA (Società Interbancaria per l’Automazione) as the technology partner to build and operate a new pan-European Automated Clearing House for mass payments in euro. The decision to appoint SIA as the partner for the STEP2 project was confirmed by the EBA at its general meeting in Verona. The system has been commissioned in response to European regulatory pressures for banks to cut the costs of transmitting cross-border euro payments to the levels of domestic money transfer charges. Under STEP2, cross-border and domestic retail payments will be sent as files to the EBA/SIA operation center and will be then processed, cleared and sent for settlement. Settlement Services will be provided either directly by banks, through settlement agent banks or through central banks.