Australians receiving international payments from BNY Mellon clients will be able to receive funds in under a minute, due to a partnership with the Commonwealth Bank of Australia (CBA).
As per this new arrangement, BNY’s commercial payments from overseas to Australian bank accounts will reach the final beneficiary in under a minute, available 24/7.
This is achieved through Australia’s New Payments Platform (NPP2) International Payments Service (IPS), which allows CBA to process the final stage of BNY’s cross-border payments to Australia through the NPP.
Ethan Teas, Executive General Manager of Payments at CBA, commented: “We’re thrilled to collaborate with BNY and leverage the IPS initiative to enhance the speed of cross-border payments into Australia. This initiative demonstrates our commitment to supporting our banking partners to meet customer demand for instant and frictionless cross-border payments.
”This represents a significant leap forward in the evolution of speed in global payments, allowing CBA to empower our overseas banking partners to deliver great outcomes for their customers in supporting faster settlement of payments bound for accounts in Australia. Combined with CBA’s market-leading 24/7 AUD clearing, we are proud to offer the strongest end-to-end proposition for our overseas partners.”
Launched in 2018, Australia’s NPP enables real-time payments 24/7 between participating financial institutions. While it initially focused on speeding up domestic transactions, the platform has recently added instant interoperability through the IPS.
Instant payment platforms such as this one have been increasingly adopted worldwide, attempting to replicate the effect that Brazil’s Pix has had on the country’s payments landscape.
Since its launch by the Central Bank of Brazil in 2020, Pix has not just sped up payments but has enhanced financial inclusion, allowing users to make instant payments using just a phone number, email or QR code.
Carl Slabicki, Executive Platform Owner of Treasury Services at BNY, said: “Adoption of similar services like the IPS in Australia is expected to continue globally as demand for an instant cross-border experiences rises. Collaborating with CBA allows BNY to enable yet another market in our ambition to facilitate instant, frictionless payments from account-to-account anywhere in the world.”
Recently, CBA has been harnessing the power of other emerging technologies. Earlier this month, the bank rolled out an artificial intelligence (AI) microlearning series to all its employees.
