Hong Kong, 21 October 2013 - SWIFT, the financial messaging provider for more than 10,000 banking organisations, securities institutions and corporate customers in 212 countries and territories, today announced that Renminbi (RMB) settlement and clearing services are now available on Taiwan's Real Time Gross Settlement (RTGS) system.
The new service allows banks to directly carry out RMB clearing and settlement in Taiwan. It is a faster, more efficient, reliable and secure way of processing RMB amongst all participants, while reducing conversion costs associated with offshore clearing and settlement.
Early this year, the Central Bank of the Republic of China (Taiwan) launched a new foreign-currency clearing and settlement platform which initially handled US Dollar (USD). Running on the SWIFT network, it links settlement banks and participating banks for different currencies and centralises cross-bank clearance for these transactions.
Alain Raes, Chief Executive, Asia Pacific and EMEA, SWIFT, says: "A cost-efficient, reliable and secure foreign-currency clearing and settlement platform is the essential component of any financial market infrastructure. We are pleased that the Taiwan RTGS system has been running smoothly since its launch and is now extended to handle RMB. It will help to accelerate the development of financial markets in Taiwan and facilitate the internationalisation of the RMB."
This is a significant development as the RMB market is set to expand further, and a growing number of market participants are now engaging in RMB business. The new service will strengthen the overall competitiveness of Taiwan's banking industry and promote wider use of RMB by financial institutions and corporates.
SWIFT is used by payment market infrastructures in 10 other Asia-Pacific countries and territories, including Australia, New Zealand, the Philippines, Thailand, Sri Lanka, Singapore, Fiji, Hong Kong, Macau and Taiwan, and in 70 RTGS systems around the world.
SWIFT has been in Asia Pacific for over 30 years, starting in Hong Kong and Singapore. Three regional offices have been opened in Asia since 2005, bringing the total to eight commercial and support offices, as well as an Operational Central Control Centre and a new corporate services hub that opened in Kuala Lumpur earlier this year.
SWIFT is a member-owned cooperative that provides the communications platform, products and services to connect more than 10,000 financial institutions and corporations in 212 countries and territories. SWIFT enables its users to exchange automated, standardised financial information securely and reliably, thereby lowering costs, reducing operational risk and eliminating operational inefficiencies. SWIFT also brings the financial community together to work collaboratively to shape market practice, define standards and debate issues of mutual interest.
For more information, please refer to our website http://www.swift.com/ or contact:
Head of Media Relations, Asia Pacific, SWIFT
Tel: +852 2107 8873
Tel: +852 2973 0222