Ant International and Standard Chartered have performed the first bank-to-wallet transaction in a production trial aimed at opening new channels for businesses to perform cross-border payments.
Backed by Swift’s messaging network infrastructure, the pilot saw Ant International’s Alipay+ receive a transfer from a Standard Chartered customer via one of its unnamed e-wallet partners.
The transaction was conducted using ISO20022, the global standard designed to improve cross-border payment flows, enhance customer experience, and provide financial institutions with richer data and greater transparency.
“We are very excited to be part of this ground-breaking multilateral collaboration with Swift, banking leaders and Alipay+ e-wallet partners to facilitate bank-to-wallet transactions on a global scale,” said Jacques Xu, General Manager of Global Remittance of Ant International.
“Ant International will continue to support such cross-sector collaboration with fintech innovations, to build a more connected payment and financial ecosystem for businesses and consumers with ever higher standards of transparency and security, as part of our focus on promoting global interoperability and inclusion.”
ISO20022 for bank transfers
SWIFT rolled out the ISO20022 financial messaging standard in March 2023 with a view for it to become the global standard and update the outdated MT messaging services by the end of 2025.
As ISO20022 enables less manual processing, bank-to-wallet transfers will be supported by faster transaction times and reduced costs for manual processing, an advantage for businesses who perform cross-border transactions.
With a greater focus on compliance and security, ISO20022 also serves to protect businesses by creating more detailed data fields to enable them to access payment data in order to maintain compliance, while also uncovering and tracing fraudulent transactions.
“We are pleased to be the bank of choice to conceptualise, test and deliver this innovation. It is testament to the versatility of our banking platform and our strategic relationship with both Swift and Ant International,” said Michael Spiegel, Global Head of Transaction Banking of Standard Chartered
We will continue to push the boundaries of finance to shape the future of our industry, securely and in compliance with regulatory requirements.”
More new payment methods in Asia
By leveraging Swift’s global network of more than 11,500 partnering financial institutions across over 200 countries, Ant International is looking to connect to the 36 global markets Alipay+ is operational in.
The new bank-to-wallet solution could begin to be rolled out across various Asian markets. Alipay+ has adopted a wide range of e-wallets from countries such as GCash in the Phillippines, Touch ‘n Go in Malaysia, True Money in Thailand and Alipay in China.
“In a world of fast-moving innovation with a growing number of ways to move value, consumers and businesses expect more choice and optionality in their international payments experience,” said Kevin Wong, Chief Executive, Asia Pacific at Swift.
“Swift is at the forefront of providing a best-in class experience with greater flexibility and choice. This collaboration with Ant International and Standard Chartered reflects that strategic commitment to faster, frictionless payments across multiple networks.”
