Banks are coming under competitive pressure to move to the new universal financial messaging standard ISO 20022 as the overall shift in the payment industry to instant payments means that existing products and services could become inoperable if they don’t act.
In Europe, Chaps will be the first to migrate to the new messaging standard in June 2022, followed by Target2 in November. In Canada, the Lynx system will also migrate in November 2022, as will Swift correspondent banking, albeit with a coexistence period.
Fedwire and Chips in the US are expected to move over in 2023.
A recent Bottomline report, ‘The Future of Competitive Advantage in Banking & Payments’, shows, however, that most banks and financial institutions seem be leaving their preparations to the last minute.
Access this research
Enter your work email address to sign in or check whether your organisation already has access to Euromoney.
