Trésorier/Treasurer magazine - N°99 - Nov/Dec/Jan 2018 - 25

FORUM
The Concept

SWIFT gpi

SWIFTgpi

Accessible
by any bank

Still reach
non-initiative banks

Reaching
any bank

Tracker

Directory

Observer

Accessible by any
corporate (via SWIFT
or bank channel)

GREGORY PICAVET
COMMERCIAL DIRECTOR LUXEMBOURG
SWIFT

In response to the dynamic nature of cross-border
payments, the key objective of our solution is to address
concrete pressing issues with cross-border payments by
making them traceable, faster (same-day), with transparent fees and full remittance data.
The first phase, already live, consists of a multilateral
rulebook and service level agreement to which participating banks have agreed to commit. This rulebook provides
peace-of-mind for corporate customers.
To support the requirement of transparency and traceability, the gpi service is supported by three products already
available today:
1. The gpi Tracker - provides real-time tracking of
payments, including an overview of fees and deducts
taking place in the transaction. The payments tracker is
hosted by our company and offers banks the possibility
to integrate it in their corporate customer portal. This
way, corporates will be able to track the status of their
cross-border payments end-to-end
2. The gpi Directory - allows participants to identify
member banks, the currencies/ countries supported by
each, and the cut-off times that apply
3. The gpi Observer -monitors member banks' compliance with the SLA rulebook, helping banks to monitor their own performance, as well as evaluate their
correspondents' compliance with the gpi Rulebook.

JAN 2018

- NOV / DEC /

The innovating solution is already exploring the potential
of using new technologies such as distributed ledger
technology through a proof of concept for real-time
reconciliation of nostro accounts.

N°99

"More than the speed, the net amount received by the
counterparty is key as well as the higher degree of security and insurance it is properly made," adds Masquelier.

In the next phases of the development of our solution, corporates can expect to see new services such as a facility
to immediately stop and recall a payment and the ability
to transfer rich payment data along with the payment.

Our collaboration between corporates
and banks is vital
An ongoing process of collaboration with corporates is
essential for the successful rollout of the gpi roadmap.
Equally, it is important to learn from the experience of the
banks as they engage with their corporate customers and
deliver cross border payment services.
Corporate treasurers and finance managers are encouraged to approach their banks to understand their gpi
strategy. Recently six leading Swiss corporates with
international operations - including ABB, Nestle, Roche,
SBB, Swiss Re and Wurth - issued an open letter stating
their support for the global payments innovation (gpi) service and encouraging banks worldwide to use it in order
to improve cross-border payments. This letter has also
been endorsed by several organisations and associations
including ATEL.
Collaboration with associations such as ATEL provides
a valuable communication channel to highlight the
challenges and share the details of work that is underway.
The first important step forward has been taken and
whilst progress is clearly evident, there is still more to be
done, and we look forward to engaging further with the
Luxembourg community on these subjects.

As part of the consultations with the corporate community, we have conducted with EuroFinance a survey
looking at the key challenges and priorities of corporate
treasurers. The results have also shown the corporate
wish-list for enhanced global payments. Three quarters
of the surveyed corporate treasury professionals placed
real-time tracking as their top-of-list priority, followed by
higher consistency in bank payment processes and better
visibility on banking fees.

Today, more than 110 banks have signed up for it, covering
more than 200 countries and 75% of our cross-border
traffic. Of these, 24 banks are already live and many are
scheduled to go live in the months to come.

LE MAGAZINE DU TRESORIER / TREASURER MAGAZINE

SWIFT gpi - priorities for change

Table des matières de la publication Trésorier/Treasurer magazine - N°99 - Nov/Dec/Jan 2018