1. SWIFTSolutions for high value payment clearing
Sib06_SWstand_HVPC_v1.ppt

2. Adding value to payments clearing
Standardisation
Reduced costs and complexity for participants
Interoperability of clearings
Third party software availability
Single window
Re-use of existing infrastructure
Simplicity for participants
Sib06_SWstand_HVPC_v1.ppt

3. Benefits for financial institutions
High-value payments
Low-value payments
Single re-usable connection
Standard security implementation
Re-usable technical expertise
Single contract and service management
Common technical integration in user environment
Business standards
EURO1
STEP1
FIs
RTGS
FIs
ACH
STEP2
FIN InterAct
FileAct
SWIFT
Financial institutions
Sib06_SWstand_HVPC_v1.ppt

4. SWIFTNet infrastructure for HVPC systems
Bank A
Bank B
SWIFT interface
Internal
payment system
SWIFTNet
Payment message
SWIFTNet FIN Copy
SWIFTNet FileAct
Real-time reporting
Settlement
request
Authorisation/
refusal
SWIFTNet Browse
On-line visualisation of information
SWIFTNet InterAct
Real-time cash management
Central RTGS
Application
Central SWIFT interface
Payment processing
Bank A Bank B
Central Web Server
SWIFTNet services
FIN/FIN Copy
Sib06_SWstand_HVPC_v1.ppt

5. SWIFT provides a total solution for payments and settlement systems
Banking correspondents
Automated clearing houses
Real-time gross settlement systems
Central securities depositories
Settlement instructions
Settlement instructions
Payments
Settlement instructions
DVP instructions
R-t cash reporting
Real-time query/control
Real-time query/control
Real-time query/control
Bulk payments
Bulk payments
Reporting
Reporting
FIN FIN Copy InterAct FileAct
Sib06_SWstand_HVPC_v1.ppt

6. FIN Copy Service Y-Copy mode
User A
User B 1 5 2
1. User A sends message to User B
2. Original message is held in FIN
3. Message is copied by FIN to
Y-Net Server, and sent in an MT096 envelope
4. Authorisation is sent to FIN (MT097)
5. FIN forwards the message to User B. If not authorised, FIN returns message to User A 3 4
Central
Institution
Sib06_SWstand_HVPC_v1.ppt

7. FIN Copy Service T-Copy mode
User A
User B 1 4 2
1. User A sends message to User B
2. Message is copied by FIN to the Server
3. Message is sent to the Server in an MT096 envelope
4. FIN forwards the message to User B 3
Central
Institution
Sib06_SWstand_HVPC_v1.ppt

8. FIN Copy Service Additional features
Sender Notification/Receiver Information
User A
User B 1 5 2
Destination info
(Block 115)
Sender notification MT012
& Sender info (Block 114) 3 4
Sender info (Block 114)
Destination info (Block 115)
Central
Institution
Sib06_SWstand_HVPC_v1.ppt

9. FIN Copy Y-Copy authentication
User A
User B
MAC:A to B
SWIFT
Y-Copy
PAC:A to Central Institution
PAC:Central Institution to B
Central
Institution
Sib06_SWstand_HVPC_v1.ppt

10. FIN Copy T-Copy authentication
User A
User B
MAC:A to B
SWIFT
FIN Copy
PAC:A to Central Institution
Central
Institution
Sib06_SWstand_HVPC_v1.ppt

11. Cash management messaging offering SWIFTStandards XML
Get object
information
- Limits
- Accounts
- Transactions
- Business data (membership, day profiles, exchange rates, FX margins...). 1
Actions on objects
- Input transactions
- Modify/cancel transactions
- Modify/cancel limits
- Transaction authorizations
- Standing order management 2
Alarms and
business information
- Limits
- Accounts
- Transaction
- Business information (static/dynamic) 3
Provide information
for Reconciliation
- Registration or bookings to the account
- Balance information 4
Sib06_SWstand_HVPC_v1.ppt

12. SWIFTNet InterAct is used in real time mode query and response
Used either in the context of person-to-application solutions (with SAB) or application-to-application (with SAG)
Real-time
query & response
SWIFTNet InterAct Q&R: interactive exchange of information for messages that are time-critical and need an instant response
New message types will be introduced as ISO XML messages for SWIFTNet InterAct: Cash Management standards
Types of operations supported include:
Payments queue management
Liquidity management
Management of reservation and limits
SWIFTNet Interact is used in real time mode.
Real time mode is well suited for messages that are time-critical and require an instant acknowledgement.
Real time query-response is an interactive service typically used in the context of online enquiry or reporting systems and often in conjunction of SWIFTNet Browse.
Cash management standards :Some adaptation may be needed but more or less they will be similar to the current cash management standards.
Additional notes:
SWIFTNet FIN uses SWIFTNet InterAct as a transport mechanism - this is largely invisible to customers.
SWIFTNet InterAct and SWIFTNet FIN will co-exist as messaging services:
a. New message types will be introduced as ISO XML messages for SWIFTNet InterAct
b. SWIFT has no plans to discontinue FIN in the foreseeable future
SWIFT is developing a comprehensive approach to facilitate the co-existence of FIN MTs and of ISO XML messages, when both are used in the same business area
Sib06_SWstand_HVPC_v1.ppt

13. Key characteristics of SWIFTNet InterAct
Highly secure
Secured with SWIFTNet PKI (managed certificates)
Encryption, authentication and integrity control
Non-repudiation
Closed user group control
SIPN
Highly reliable
Highly available operations
Store-and-forward
Delivery notification
STP oriented
Message validation
XML-based
Other
Short messages (max 100 K; recommended < 20 K for RT)
Higher priority vs. SWIFTNet FileAct
Flexible central routing
Real-time messaging requires 64K lines minimum
Sib06_SWstand_HVPC_v1.ppt

14. SWIFTNet Browse overview SWIFTNet Browse transparently combines two communication mechanisms
HTTP-S channel only authenticates the system of the end user
Using non-managed Web certificates
Service user
Service provider
HTTP-S
SWIFTNet
User access rights
User
E Grieg
F Chopin
ok? 
Limits
75,000
50,000
E Grieg
InterAct/FileAct
Workstation
Web Server + SNL
InterAct / FileAct channel authenticates the end user
Using managed SWIFTNet PKI certificates
SWIFTNet Browse allows to initiate InterAct or FileAct exchanges via a secure browser link. By doing so sensitive data can be exchanged with all the security and reliability inherent to the SWIFTNet platform, while preserving the benefits of a browser-based environment.
Sib06_SWstand_HVPC_v1.ppt

15. Highly secure and reliable Standard technologies
Key characteristics of SWIFTNet Browse (when used with SWIFTNet InterAct/FileAct)
Highly secure and reliable
Integration with SWIFTNet InterAct / FileAct for security sensitive data
HTTP-S exchanges secured with web-certificates for non-sensitive / un-structured exchanges
Closed User Group control
SIPN
Standard technologies
Client uses standard browser to navigate
HTTP-S for screens and InterAct for transactions or FileAct for file transfers
Thin client
Service provider does not install software at client side
Single window
Re-utilisation of existing SWIFTNet infrastructure
Sib06_SWstand_HVPC_v1.ppt

16. Benefits for automated clearing houses
hardware
software
lines
maintenance
support
release qualification
testing
backup
disaster take-over
exercises
legal
software
maintenance
project management
procurement
education
documentation
Sib06_SWstand_HVPC_v1.ppt
Sib06_SWstand_HVPC_v1.ppt
Slide 16

17. Banking market infrastructures – August 2006
High-Value Payments
Low-Value Payments
Systems
Systems
Live 67
Live 6
Implementation 12
Implementation 3
Plan/Discussion 5
Plan/Discussion 12
SWIFTNet services
FIN
FIN Copy
InterAct
FileAct
Browse
Live 25 42 6 11 6
Implementation 6 5 4 7 5
Plan/Discussion 1 5 2 15 9
Sib06_SWstand_HVPC_v1.ppt

18. Banking market infrastructures – August 2006 High-value payments
Live
Albania (AIP)
Algeria (RTGS)
Angola (PTR)
Australia (PDS)
Austria (ARTIS)
Azerbaijan (AZIPS)
Bahamas (BHS)
Barbados (BDS)
Belgium (ELLIPS)
Bosnia & Herzegovina (BIH)
Bulgaria (BGN-RINGS)
Canada (LVTS)
Chile (Netting - LBTR)
CLS Bank
Croatia (HSVP)
Denmark (DDK-KRONOS)
Egypt (CBE)
EBA Clearing (EURO1/STEP1)
ECB (TARGET)
Finland (BOF)
France (CRI – PNS/TBF)
Germany (RTGSPlus)
Ghana (GISS)
Greece (HERMES)
Guatemala (RTGS)
Hungary (VIBER)
Ireland (IRIS)
Italy (BIREL)
Jordan (RTGS)
Kenya (KEPSS)
Kuwait (RTGS)
Latvia (LVL)
Lesotho (RTGS)
Luxemburg (LIPS)
Malta (MARIS)
Mauritius (MACSS)
Namibia (NISS)
Netherlands (TOP)
New Zealand (AVP)
Norway (NICS)
Oman (RTGS)
Philippines (PPS)
Romania (REGIS)
Slovenia (SIPS)
South Africa (BOP - RTGS - SAMOS)
Spain (NSLBE - SLBE)
Sri Lanka (LankaSettle)
Sweden (RIX)
Switzerland (Remote Gate)
Tanzania (TISS)
Thailand (BAHTNET/2)
Trinidad & Tobago (SAFE-TT)
Uganda (UNIS)
United Kingdom (CHAPS-£ CHAPS-€ / Enquiry Link)
United States (CHIPS)
Venezuela (PIBC)
Zambia (RTGS)
Zimbabwe (ZETTS)
West African States (BCEAO)
Implementation
Plan/Discussion
Bahrain (RTGS) Botswana (RTGS) Morocco (RTGS) Pakistan (RTGS)
Central African States (BEAC) Tunisia (RTGS)
Eurosystem (TARGET2) Singapore (MEPS+)
Israel (RTGS) Swaziland (RTGS)
Fiji (RTGS) Hong Kong (RTGS)
Georgia (RTGS)
Lebanon (RTGS)
Palestine (RTGS)
Peru (RTGS)
Russian Federation (RTGS)
Sib06_SWstand_HVPC_v1.ppt

19. Banking market infrastructures – August 2006 Low-value payments
Live
Implementation
Plan/Discussion
Albania (AECH)
EBA Clearing (STEP2)
Eurogiro
Germany (RPS)
Slovenia (GIRO)
Sweden (BGC)
Jordan (ACH)
Uganda (ACH)
United Kingdom (VOCA)
Croatia (FINA)
Georgia (ACH)
Germany (Garagenclearing)
Ghana (ACH)
Greece (DIAS)
Italy (part of BI-COMP)
Luxemburg (LIPS-Net)
Netherlands (Interpay)
Romania (SENT)
Sierra Leone (ACH)
South Africa (BankServ)
Spain (Iberpay)
Sib06_SWstand_HVPC_v1.ppt