Banks go live on TIPS using SWIFTNet Instant
By implementing SWIFTNet Instant, SWIFT claims that its customers will be adopting a future-proof solution that will facilitate their migration to ESMIG.
By implementing SWIFTNet Instant, SWIFT claims that its customers will be adopting a future-proof solution that will facilitate their migration to ESMIG.
SWIFT has announced the successful implementation of SWIFTNet Instant, its messaging service for TIPS – TARGET Instant Payment Settlement. SWIFT’s solution for TIPS is designed as a key building block for access to the future Eurosystem Single Market Infrastructure Gateway (ESMIG). The next major milestone for ESMIG will be the technical consolidation of TARGET2 and Target2-Securities in 2021.
Adapting their systems and processes to access this single European gateway will be one of the most crucial tasks facing European financial institutions in the coming years.
Alain Raes, chief executive of Europe, Middle East & Africa, SWIFT, said: “We are delighted to confirm the successful go-live of our connectivity solution for instant payments on TIPS. This marks another milestone in our long standing partnership with the Eurosystem and we are proud to be supporting the first customers making instant payments on TIPS. Our solution is designed to meet the current and future messaging needs of our customers and we look forward to working with them as they embark on the path towards the Eurosystem Single Market Infrastructure Gateway.”
Marc Bayle, director general Market Infrastructure and Payments, European Central Bank, said: “The go-live of TIPS today is a further landmark in the Eurosystem’s creation of a truly domestic market for payments and securities settlement in Europe. We are pleased that SWIFT supports the integration of the European payments market as one of the network service providers of TIPS.”
SWIFT is a partner to the Eurosystem, the sole provider of connectivity for Target2, key provider of connectivity to Target2-Securities (T2S) and now also a provider for TIPS.
The provision of an instant payments messaging service for TIPS is the latest step in SWIFT’s global instant payments strategy that leverages innovative technology to enable real-time payments to be made over the SWIFT network while also re-using existing infrastructure, ensuring a future-proof messaging solution that is easy to implement and maintain.
The instant payments gateway can be used stand-alone, but it can also be integrated with SWIFT’s Alliance Messaging Hub (AMH), which enables the processing of financial message flows and integration with back office systems. It is fully compliant with industry standards and specifications.