ISO 20022 is underpinning advances across the payments industry
In a recent article for Payments Journal, SWIFT’s Head of Standards Stephen Lindsay reflects on recent ISO 20022 developments and how they are bringing about a ‘quiet transformation’ in global payments.
Developed 14 years ago, ISO 20022 provides precise structures for payment messages and supports many of the initiatives that are transforming the industry.
“Unlike many of the legacy formats it replaces, ISO 20022 provides detailed, well-defined structures for important information – including all the parties involved in the payment, rich remittance information and payment purpose details”, Lindsay said.
If ‘data is the new oil’, ISO 20022 data is the refined stuff, ready to power big-data applications like business intelligence and customer insight.
The main benefit of a common standard is clear: end-to-end consistency of data and processes leading to cheaper, faster automation of transaction and compliance processing.
Against a backdrop of existing systems being upgraded across the globe to offer easier access, better services and lower transaction costs, he points out that now is the time to push forward for a common standard model for payments worldwide. Lindsay concludes that, “While there is much more work left to do, that prize is finally in sight.”
Read the full article in Payments Journal here.