- As per the announcement by SWIFT, Middle Eastern Banking giant Mashreq Bank has become the first bank in the middle east region as it has signed up for their unique global initiative of Global Payments Innovation (GPI) services.
- The best part is that the bank will join in tandem with 100 leading banks globally as the SWIFT GPI services in general excellently and as unique initiative improves customer experience in cross-border payment transactions as it speeds up the pace, transparency and as well end-to-end tracking of financial transactions.
As it has gone live, it’s the first phase of SWIFT GPI focusses entirely on B2B (Business-to-Business) transactional payments, thus, supporting and lending helping hand to all leading corporates in their mission and objective of assisting corporates in growing their global base and business, improving the relationship with suppliers and foreign direct investors, thereby achieving higher treasury efficiency.
All credit to the SWIFT GPI, all corporates can get access to enhanced payment services direct from their banks, with the following supporting enhanced crucial features like: –
• Faster and immediate, same day utilization of Funds.
• Transparency in the rate of fees levied.
• Tracking of end-to-end financial transactions.
• Unaltering of the transferred Remittance information.
Mashreq Bank, Group Head of Operations and Technology, Sandeep Chouhan was pleased and stated that “They are proud as they are the very first bank in the region to join the bandwagon of SWIFT GPI. That they have always been keen to be at the forefront of innovation in the Banking industry and strive hard to offer all their customers best and most unique, innovative services available.”
He also added a point that he is optimistic that for offering best in class services to their customers in the entire region, they are operating across multiple trading corridors, and that they are looking forward to working in tandem with SWIFT for delivering a faster, most transparent and more traceable cross-border payments and financial transactions offerings.”
Mashreq Bank’s, Group head International Banking Jan- Willem Sudmann stated, “They are happy for being a part of SWIFT GPI, and which is among one of the most unique, quicker many such initiatives that have been undertaken by SWIFT facilitating the change in the correspondent banking business by bringing in more transparency and speed.”
He also stated that as the very first bank to join this initiative, Mashreq Bank has always been pioneering for delivering innovative solutions meeting the dynamic and holistic requirements of all its customers. As well the Mashreq Bank’s digitalization roadmap has been carefully mapped with the SWIFT GPI program to make it a grand success.
SWIFT’s, Chief Executive of Europe, Middle East, Africa and the Asia Pacific, Alain Raes stated, “With the inclusion of Mashreq Bank joining SWIFT GPI service, they hope that many more banks across the region will follow suit and join them. He also added that the banks live with SWIFT GPI service have already demonstrated the significant value carried forward and look forward to working as Mashreq’s platform is prepared to go live with its service later in this year.”
Pondering upon key benefits that SWIFT GPI transactions for banks to provide corporate treasurers are as follows: –
- Quicker, Swifter and immediate financial transactions thus saving time and without any further interests levied.
- Real-time unique programming allowing corporates to track and keep a watchful eye on the status of their payments, that also includes confirmations when the refunds have got credited to the beneficiaries account. Thus, this as well means it brings on transparency in the banking system.
- SWIFT is also developing a GPI observer, quality assurance tools monitoring participant’s adherence to the business.
- SWIFT is also in phase to designing a second phase of the GPI services that will enable the digital transformation of the cross-border payments, including a stop and recall service for all transactions.
It also allows the transfer of a rich payment data; an international payment assistance service is helping corporates initiating error-free cross border payment instructions and thus a foolproof security system. The SWIFT GPI Payment platform is also exploring a kind of distributed ledger technology that banks upon real-time Nostro account reconciliation.
The positive news on this front is that Six of the leading global transactional banks kicked off a Proof of Concept (POC) in April 2017 and a further 20 banks are set to join the validation phase at a later stage. The results of the POC will be presented at Sibos in Toronto in October.