RTGS Global launces Stage One of liquidity network rollout

By Sunniva Kolostyak

RTGS Global, the highly anticipated cross-border liquidity network which aims to provide complete visibility across payments and settlements, has launched the first stage of its operational rollout.

The venture, which comes from Worldpay and ClearBank founder Nick Ogden, is looking to develop a transformative new system to allow banks and financial institutions to gain complete visibility of liquidity between counterparties.

Delivery of stage one is the first step in making the RTGS Global network, which is built together with Microsoft and on Microsoft Azure, available to 43,300 banks globally.

Stage two, the technical integration involving Azure, will commence in autumn this year, RTGS Global said in a statement.

RTGS Global founder, Nick Ogden, says: “The current interbank infrastructure that supports cross-border payments is much like other corners of the payments industry – legacy technology combined with historic practices. As we become increasingly used to interacting on a real-time or instant basis, it’s obvious that the international payments system is nowhere near fit for purpose in today’s global digital economy.

“In times of economic instability, inefficient processes and slow transaction speeds become even more problematic. Invisibility of liquidity undoubtedly contributed to the last global financial crisis. We believe that we have made significant progress by ensuring that every international transaction is matched to corresponding real-time institutional liquidity.”

The network safeguards existing commercial banking relationships while removing manual processing to improve efficiency, reduce costs and enable a new level of customer service to be delivered.

The announcement comes in parallel to a move by the G20, under the 2020 Saudi Arabian Presidency, to make cross-border payments a priority in recognition of the widespread benefits for global citizens and economies, that will result from ‘faster, cheaper, more transparent and more inclusive cross border payments’.

Bill Borden, Corporate Vice President, Worldwide Financial Services at Microsoft, said: “Today’s advanced technologies are enabling new opportunities to modernize outdated aspects of the financial services industry for big gains. Using Azure’s AI and data analytics capabilities, RTGS Global’s new system provides a powerful way for banks to transform their international payments process, delivering enhanced value to their customers while reducing costs, improving efficiencies, and staying secure and compliant. We’re pleased to make RTGS Global available in Microsoft Azure Marketplace and extend its benefits to our banking customers.”

Ogden added: “Throughout many decades spent working on new technologies to revolutionise the global payments industry, I’ve worked closely with regulators, central banks and commercial institutions. RTGS Global is the culmination of that experience delivering a new network to 43,300 banks around the planet that all now have a unique RTGS Global capability.”