SWIFT is a global, member-owned community cooperative and the world’s leading provider of secure financial messaging services. Their messaging platform, products and services connect more than 11,000 banking and securities organisations, market infrastructures and corporate customers in more than 200 countries and territories, of which about 6,000 are active in foreign exchange. SWIFT also provides robust, reliable and secure financial messaging solutions to more than 235 payment, securities and treasury infrastructures globally, including 80 domestic high-value payment systems or RTGS communities and global FMIs like CLS.
Payments, securities, trade and FX are all intertwined. Changes in one area, such as efficiency gains, digitisation or faster processing are likely to impact others, and must be considered under the service mix that GTBs and custodians offer to their customers – whether that’s asset managers, brokers or corporate clients.
FX is a key component of making cross-border payments safer, faster and cheaper. With that in mind, it’s crucial for the industry to commit to removing FX settlement risk, especially on emerging currencies. Solutions do already exist today, and new ones will emerge too, but ultimately it remains a collaborative engagement at industry level – involving business players, regulators, market infrastructures and FinTechs.
e-Forex speaks with Vikesh Patel, Head of Capital Markets Strategy at SWIFT, discussing transforming FX drivers in a world where moving value is constantly changing. Vikesh outlines the various challenges facing SWIFT and highlights ongoing challenges and priorities under development at SWIFT. Click here to listen.
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