Global Vendor WebinarTransaction Management

Partner Programme / Vendor ReadinessOctober 2021

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Transaction Management - Global Vendor Webinar

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The slides and recording will be published in the document centre on SWIFT.com

(https://www.swift.com/standards/iso-20022/iso-20022-programme/iso-20022-programme-

document-centre)

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Relevant developments on ISO 20022 and Transaction Management

Updates from SWIFT’s Market Practice team

The latest info on adoption enabling tools and support

2

Transaction Management - Global Vendor Webinar

Agenda

1. Recap: resources and support available

2. Vendor readiness roadmap

3. Update: ISO 20022 adoption and Transaction Manager activation

4. Close

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Transaction Management - Global Vendor Webinar

Recap: SWIFT platform evolution support page

https://www2.swift.com/knowledgecentre/subjects/swift_platform/index.html

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Includes

Connectivity Guidance Getting Started Guide

Transaction Manager Release 1: Messaging Flows Your Questions Answered (FAQs)

E-learning - SWIFT Platform Evolution: Introduction to the Transaction Manager And much more…

More coming up…

New and updated knowledge content will gradually be released. Make sure you consult this page regularly.

Connectivity Guidance update FAQ update

Transaction Manager: Service Description Introductory trainings on the SWIFT platform evolution and the principles of

transaction management New webinar recordings on the SWIFT platform evolution

Transaction Manager Rulebook v1 (pacs.008) Transaction Manager Release 1: Testing Guidelines

Please email any questions to transaction.mgmt.vendor.support@swift.comISO20022programme.vendor.support@swift.com and SWIFTFORPROVIDERS@swift.com are being retired – mails will be forward to the new mailbox

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Transaction Management Vendor Readiness Roadmap

Transaction Management - Global Vendor Webinar

2021 2022

Pre-

Jun

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Key initiative milestones

Comms Global vendor

webinar

Newsletter

Connectivity

readiness

Interface

Service

bureaux

1Deliverable notes

Transaction Management

Connectivity Guide

SWIFT Platform Page

CBPR+

v2 usage guidelines and user handbook

Global Vendor Webinar recordings

Adoption guide

Adoption briefings

Training

See notes1

Messaging interface

in-f low testing begins

Tech &

test specs2

Readiness assurance

Interfaces ready

SBs on vendor interface ready

All service bureaux ready

Transaction

management go-live

2Specs only available to providers who

have bought a SNL Developer l icense

or a SAG Developer license

Further details can be found on the

Compatible Interface Programme page

Community in-flow

testing begins

Note: Tools for API Enabled Apps

Developer portal

Software Development Kit

Microgateway

API catalogue

Playground & sandbox

3Further details can be found on the

Shared Infrastructure Programme page

T&Cs effective3

SBs on SWIFT interface ready

T&Cs published

Connectivity

providers ready

Test instructions

SB webinar

Plan approvedEscalation

(if needed)

Transaction Management

testing available

CBPR+ v2.1 release

CBPR+ in-flow translation

available for Live

(bilateral agreements)

Messaging interface

compliance assurance

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− ISO 20022 adoption and Transaction

Manager activation

Transaction Management - Global Vendor Webinar

Pre-requisite for ISO 20022 adoption

FINplus and In-flow translation

In-Flow translation Highlights

• Built in to FINplus messaging service and switched on by default

• All users will be provisioned in FINplus automatically by November 2022

• Provides the key interoperability capability for ISO 20022

adoption:• Senders can send ISO 20022 to any bank; receivers can

process as MT if not ready for ISO 20022• Limited to ISO MT for CBPR+ flows

• Multi-format MX handled transparently in SWIFT interface

• End-to-end pilot completed with 7 banks in June 2021*

Next Steps: community readiness for ISO 20022

• Prepare to adopt: upgrade your SWIFT Interface+

• Compatible SWIFT interface software available now on

download centre

• In-flow Translation community testing starts November

• Many ISO 20022 testing resources already available from ISO 20022 knowledge centre

• Available live in production August 2022:

• Opt-in, bilaterally agreed basis for ‘penny testing’,

familiarization, early adopters

• General go-live November 2022

Multi-format MX

includes MT format

*Full report available on MyStandards CBPR+ homepage +SWIFT’s cloud-based interfaces, Alliance Lite2 and Alliance

Cloud, w ill support the ISO 20022 adoption timelineTransaction Manager Readiness - Phase 2 - Business Impacts 7

Transaction manager activation

To support further the community with ISO adoption for CBPR+

Transaction manager Refined activation plan

• Latest surveys indicate over 50% of cross-border payments will switch to ISO

20022 in November 2022 (much more than originally anticipated), leading to

deployment risk for TM

Activate TM at original date and progressively move ISO 20022 payments

over 6 months, prioritizing transactions with rich data

• Debate in the community around migrating FIN/MT-originated transactions to TM

(which was not part of the defined TM scope), with a broad range of views on the

topic

Keep MT on FIN and re-evaluate mid-2023

TM brings additional functionality on top of

FINplus messaging and In-flow translation:

• API access

• Transaction data integrity (transaction copy)

• Integration with value-added services

Minimum readiness criteria the same as for

In-flow translation

Transaction Manager Readiness - Phase 2 - Business Impacts 8

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Supported transaction flows

Transaction Manager Readiness - Phase 2 - Business Impacts

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2. ISO 20022 originated transactions relayed in MT by intermediary will be processed end-to-end by transaction manager

Transaction flows – ISO originated – after traffic build-up

Transaction Manager Readiness - Phase 2 - Business Impacts

Bank A

ISO 20022 user

Bank B

MT user

Bank C

ISO 20022 or MT user

Transaction manager

MT

1. ISO 20022 originated transactions will be processed end-to-end by transaction manager

Bank A

ISO 20022 user

Bank B

ISO 20022 user

Bank C

ISO 20022 or MT user

Transaction manager

ISO

20022

orISO

20022API

orISO

20022

+ MT

orISO

20022API

orISO

20022

+ MT

orISO

20022API

orISO

20022

+ MT

orISO

20022API

orISO

20022

+ MTAPI

or

API

orISO

20022

ISO

20022 API

or

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3. MT originated transactions remain on FIN and are not processed by transaction manager

Transaction flows – MT originated – after traffic build-up

Transaction Manager Readiness - Phase 2 - Business Impacts

Bank A Bank B Bank C

MT MT

4. MT originated transactions relayed in ISO 20022 by intermediary will be processed by transaction manager as of ISO 20022 leg

or

Bank A

MT user

ISO

20022

+ MT

Bank B

ISO 20022 user

Bank C

ISO 20022 or MT user

ISO

20022

Transaction manager

MTISO

20022API

or

API

or

Transaction Manager Readiness - Phase 2 - Business Impacts 12

Use Cases Overview

ISO 20022 format originated flows

MT format originated flows

Flows with a Market infrastructure leg ISO – enabled market infrastructure Not ISO – enabled market infrastructure

More complex use cases available in messaging flows document

Adapted to the role that is relevant to you (debtor agent/intermediary/creditor agent)

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My options and obligations

Transaction Manager Readiness - Phase 2 - Business Impacts

Transaction Manager Readiness - Phase 2 - Business Impacts 14

What are my options as a sender and obligations as a receiver for my CBPR+ flows?

Bank profile Option to send… Obligation to receive…

ISO enabled bank ISO 20022 to all correspondents 1) Configure preferred option to receive ISO 20022 only(default: multi-format MX for all ISO 20022 originated flows)

2) MT for MT originated payments over FIN

MT legacy bank (ISO implementation ongoing)

MT while you are still

implementing ISO (decommissioned as from Nov.2025)

1) Default: multi-format MX for all ISO 20022 originated flows

2) MT for MT originated payments over FIN

API native bank API for all correspondents 1) API (TM supported transactions: ISO and API originated)

2) ISO or multi format MX during the TM build-up phase (for ISO flows not

on TM)

3) MT for MT originated payments over FIN

Minimum requirements:

• Mandatory interface upgrade to receive multi-format messages

• Impact of receiving ISO: all parties involved in the payment chain are impacted by ISO which has ramifications to the

core banking, reconciliation, liquidity management, financial crime compliance controls and archival systems. Ultimately

back office shall be ISO native before the end of coexistence period in November 2025.

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Where to find more information

Transaction Manager Readiness - Phase 2 - Business Impacts

How to get started : SWIFT Platform page on the Knowledge Centre

One stop shop for all

technical specifications

• The Connectivity Guidance is the must-read

document detailing options to connect to SWIFT’s

enhanced platform

• The FAQ provides answers on many topics, from

business understanding to technical clarification .

• The Getting Started Guide focuses on readiness

topics customers have to take into account to

assess the impact on their operations.

• Links to Interfaces pages, CBPR+ guidelines, KB

tips,…

• More to come in the coming months : testing

guide, transaction manager service description

and operations guide…

16Transaction Manager Readiness - Phase 2 - Business Impacts

Must read: Connectivity Guidance

• Our vision for customer connectivity to the SWIFT platform, as it evolves towards

the transaction management concept described in SWIFT’s strategy

• Provides the information required to understand the options available – and the

pros and cons of each – to help plan implementations.

• Download now from

https://www2.swift.com/myprofile/res/documents/platform/swift-infopaper-

platform-connectivity-guidance.pdf (login required)

Version 1.2

available

Download the full paper from

swift.com for additional information

New detailed annex added on

messages in scope of Release 1 as well

as an overview of centrally available

translation solutions for CBPR+

messages.

More information on the Interfaces

Release Timeline

Update on availability of the API

specifications

Transaction Manager Readiness - Phase 2 - Business Impacts 17

Must read: Getting started guide

Transaction Manager Readiness - Phase 2 - Business Impacts 18

• Intuitive navigation

• Focused on operational steps

• Tailored to your profile

• Includes checklists

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− Additional useful information

Transaction Management - Global Vendor Webinar

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Useful links

Transaction Management - Global Vendor Webinar

Transaction management for vendors webpage live on SWIFT.com: https://www.swift.com/transaction-management-vendors

Designed to provide a single source of all information and specifications required for registered providers to adopt and support transaction management capabilities.

You will need to login to The Knowledge Centre before using the links

All must ensure adherence to the rules for fields and content for InterAct header requests (full details to be found in the SWIFTNet messaging operations guide)

We are working on a FIN to FINPlus guide but for the time being please become familiar with the SWIFTNet messaging operations guide Alliance Access

o Developer Guide gives an overview of the XML v2 message structure and usage used between application and Access.o Configuration Guide gives more details on all XMLv2 fields and also on the integration with back-office (message partners)

SWIFTNeto System messages explains the delivery notification messages (xsys.010, xsys.011, xsys.012). Note that these messages can be reconciled within

Access and provided to the application as a DeliveryNotification or DeliveryReport XML v2 message. Alliance Messaging Hub

o AMP reference guide explains the AMH message structure and fields used between application and AMH.

www.swift.comIf you have any questions please contact your account manager

or contact us at transaction.mgmt.vendor.support@swift.com