05 January 2015
Exporting Payments Excellence
Singapore is an advanced economy that employs a variety of clearing and settlement systems. It needed to transform its payments infrastructure to offer instant interbank transfers. The objective was to offer FAST (Fast And Secure Transactions) transfers via online and mobile channels. Prior to the introduction of FAST, instant fund transfers were only available for transactions between accounts held at the same bank. Interbank transfers could take up to three working days to complete.
There are two principal companies involved in processing Singapore’s payments. BCS is the infrastructure company that runs the clearing services, owns the data centres and delivers the services to customer banks, and BCSIS, which provides application software and support. Both companies wished to develop a batch-based service and a real-time clearing service simultaneously. This was the inspired vision of the Monetary Authority of Singapore but it needed to be supported by bold decisions and new, creative ways of working. BCSIS was keen to tap into the practical experience and expertise of the UK industry.
The core technology
BCS sought a best-of-breed solution that could deliver interbank transactions and confirmations between the Singaporean banking community in real-time. VocaLink could deliver a practical solution, IPS, and also offer practical support during the implementation and beyond. BCS could embed IPS into its local operational systems to accelerate the delivery of the overall FAST solution.