Swift awarded ESMIG network service provider status
Swift has been awarded the licence to offer connectivity services to all Eurosystem market infrastructures via the European single market infrastructure gateway (ESMIG) from November 2021.
The secure messaging services provider will become a network service provider for the Eurosystem’s Target Services.
“We are delighted to become a network service provider for all Target Services,” says Alain Raes, chief executive of the EMEA and Asia Pacific regions, at Swift. “We take our role in this major infrastructure project very seriously and are already working with both the Eurosystem and our customers to raise market awareness about the tight timeline and to ensure a smooth and successful community migration.”
As one of two providers selected by the Eurosystem, Swift will be supporting its customers through their Target consolidation projects and the migration to ESMIG.
Swift will provide high quality and competitively priced access to Target’s instant payment settlement (Tips) for instant payments, Target2 (T2) for high value payments, Target2-securities (T2S) for securities settlement, and the future Eurosystem collateral management system (ECMS).
Swift’s ESMIG will be offering its existing connectivity to EBA Clearing’s Euro1/Step1, RT1 and Step2 services. This means banks can use Swift to process all their euro payments, cross-border and high-value payments in a secure, reliable and cost-efficient manner.
The messaging services provider will be offering customers a range of products and services designed to help customers’ preparation for the big bang migration of Target2 RTGS traffic to ISO 20022 in November 2021.
These will include standards (ISO20022) validation services, standards translation and testing capabilities. To provide more information on its offering around the Target consolidation project and ISO 20022 migration, SWIFT will be reaching out to the Target community through a series of events and meetings.
Swift urges the industry to start planning this migration in conjunction with other ISO 20022 migrations happening in the same time-frame. These would be taking place both in the market infrastructure space (EBA Clearing’s EURO1, the Bank of England’s Chaps, the US Federal Reserve’s Fedwire, the Clearing House (TCH) and others) and in the cross-border payments area, where the migration to ISO 20022 is scheduled to start in November 2021.