gpi - michael moon
TRANSCRIPT
Sydney June 8, 2017
Michael Moon Head of Payments Markets, Asia Pacific, SWIFT
Global Payments Innovation
Innovation is challenging foundations of the financial industry
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In this “disruption” banks are always present
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… more often than not, there is a
banking organization somewhere in the
fintech stack … for such things as …
• access to deposits or accounts
• payment system access
• credit origination
• compliance management
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Innovation with Business Process AND Technology
SWIFT rails today
Secure
6.5bn FIN messages
Seconds Bank to bank message sent
anywhere in the world
3 days Approximate annual value
world GDP through SWIFT
network
Resilient Always available
11,000 Connects financial
institutions,
Corporates & Market
Infrastructures Globally
All currencies Eg. $, €, £, ¥ etc
200+ Countries & territories
3,000 Connects financial
institutions, corporates &
market infrastructures in
Asia Pacific
6.5% Annual growth
Cents Cost per message
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So what’s the problem ?
friction
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payment
fees compliance
liquidity FX documents
reconciliation
Regional
banks
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A new world for corporate payments
Tracking
“I’m not able to tell
when the money
hits the beneficiary’s
bank account”
Brooke Tilton
Vice President, Treasury Operations, Viacom
Transparency
“Many times we
don’t have visibility
on the fees lifted
along the way”
Peter Claus-Landi
Director banking initiatives, General Electric
Speed
“Critical business
requires faster
payment execution”
Martin Schlageter
Head of Treasury Operations, Roche
Michel Verholen
Director, Global Treasury Center, Zoetis
Remittance information
“We miss information
regarding the invoice
and the payer for
timely reconciliation”
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Speed
Transparency
Traceability
Certainty
Information
85+ Country corridors
110+ Banks committed to gpi
70+ Globally live or on-boarding
20+ in APAC live or on-boarding
of cross-border payments
on SWIFT
75% Countries and territories
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200+
SWIFT gpi : 70+ banks live or on-boarding
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Banks
110+
ABN AMRO Bank
ABSA Bank
Agricultural Bank of China
Akbank
Alfa-Bank
ANZ
BBVA
Banque Centrale Populaire
Bank of America Merrill Lynch
Bank of China
Bank of Communications
Bank of New York Mellon
Barclays
Bayerische Landesbank
BNP Paribas
China Citic Bank
China Construction Bank
China Minsheng Banking Corporation
Citibank
Commerzbank
Commonwealth Bank of Australia
Crédit Mutuel-CIC Banques
Danske Bank
DBS Bank
Deutsche Bank
Denizbank
DNB Bank
Ebury
Erste Group Bank
FirstRand Bank
Guangfa Bank
HSBC
ICBC
Industrial Bank
ING Bank
Over 110 global transaction banks committed to SWIFT gpi Sample illustration of banks with implementation project, live
Countries
220+ SWIFT cross-border payments
75%
Intesa Sanpaolo
INTL FCStone
JPMorgan Chase Bank
KBC Bank
KEB Hana Bank
Lek Securities Corporation
Lloyds Bank
Mashreq Bank
Mizuho Bank
National Australia Bank
Natixis
Nedbank
Nordea Bank
Oversea Chinse Banking Corporation
Ping An Bank
Piraeus Bank
Postal Savings Bank of China
Rabobank
Raiffeisen Bank International
Royal Bank of Canada
Santander
Sberbank
Shanghai Pudong Development Bank
Siam Commercial Bank
Société Générale
Standard Bank of South Africa
Standard Chartered Bank
Sumitomo Mitsui Banking Corporation
Tadhamon International Islamic bank
TEB
The Commercial Bank of Kuwait
Toronto-Dominion Bank
Turkiye Cumhuriyeti Ziraat Bankasi
UniCredit
Wells Fargo
Westpac Banking Corporation
Yapi Ve Kredi Bankasi
Zhejiang Rural Credit Cooperative Union
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13 banks have joined SWIFT gpi in China, Australia’s largest trade partner
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SWIFT gpi roadmap delivers change today … and in future
SWIFT gpi Customer Credit
Transfer
- Faster
- Transparent
- Traceable
- Unaltered remittance
information
Live in Feb 2017
Phase 1
Delivering a
New standard
Phase 2
Designing
Digital transformation
Phase 3
Exploring
Technological innovation
Enabling digital payment
services
- Rich payment data service
- Stop and recall payment
service
- International payments
assistant service
Q4 2017 - 2018
Exploring the use of new
technologies
- DLT Proof of Concept for
real-time reconciliation of
nostro accounts
Q1 2017 – 2019?
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SWIFT gpi: secure, faster, traceable & transparent cross-border payments
1 Faster payments Same day use of funds*
Traceable End-to-end payment tracking
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3 Transparent fees Deducts and FX 4
Full remittance data Unaltered reconciliation info
Your company
Beneficiary
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Intermediary
bank
Beneficiary’s bank
Your bank
*Within the time zone of the receiving gpi member
SWIFTgpi Rulebook $
Invoice
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The payments tracker – technology innovation
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Central payments database,
hosted at SWIFT
Data consumption via GUI, via
MT199 (push) or via API (pull)
Transparency of total fees and time
Unique, end-end tracking number
“One-glance”
status overview
Track path,
in real-time
Details of banks along
the chain
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What’s next: the digital transformation of cross-border payments
Rich payment data Request for cancellation International Payment Assistant
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Rich remittance information, invoices,
compliance documents, etc.
Stopping unsolicited payments
(double payment, manual errors, fraud)
STOP
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Validation of payments before execution
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Account number ?
BIC ?
Passport required ?
Beneficiary ?
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DLT & SWIFT gpi: the Nostro-vostro reconciliation POC
High cost of
reconciliation
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“All service interfaces, without
exception, must be designed from
the ground up to be externalisable”
Jeff Bezos
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Open-ness and APIs are present in these innovations in Australia
Opening the SWIFT gpi rails
DLT Proof of
Concept for Nostro recon
API Sandbox
Industry Challenge,
with Innotribe
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Financial community and FinTechs innovating together
APIs
MT103 MT202COV
STP:
UETR #123
X
International Payments Assistant
Request For Cancellation
Rich Payment Data
Customer Credit Transfer,
including cover
Third-party applications
APIs APIs APIs
Additional
value
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2017 gpi global innovation industry challenge in Asia Pacific
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payments
Building the future – for your business to grow, you need to:
gpi
DLT
Business intelligence
Be ahead
of the curve
Be efficient ISO Multi-
Network
operational
excellence
CSP
FCC Customer
Security
Programme
Be secure
& compliant
Financial
Crime
Compliance
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SWIFT gpi –
Journey of
innovation with the
community
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