The Committee on Payments and Market Infrastructures (CPMI) has introduced new measures designed to bolster the implementation of harmonized ISO 20022 data requirements for cross-border payments. These initiatives are intended to provide clarity regarding the governance and maintenance of the data requirements during the global shift toward the ISO 20022 messaging standard.
One of the primary objectives is to sustain the coordinated data requirements through at least the conclusion of 2027, coinciding with the G20’s cross-border payments initiative. These recommendations were first detailed in a report issued to the G20 in October 2023.
To facilitate this global adoption, a joint panel comprising members from the ISO 20022 global market practice groups will be established. This panel is expected to convene biannually beginning in 2025, adhering to the ISO 20022 standard maintenance protocol.
Additionally, the CPMI is promoting the creation of ISO 20022 market practice guidelines specifically focused on fast payments. The aim of these guidelines is to bolster the safety and efficacy of cross-border fast payment transactions. To support this initiative, the Instant Payments Plus (IP+) group is being re-established as part of the CPMI’s efforts.
The CPMI plans to remain actively involved with payment system operators and service providers to ensure that the harmonized data requirements are fully adopted by the deadline of 2027. By collaborating with the central banking community and a task force focused on cross-border payments, the CPMI aims to improve interoperability within payment systems, thereby enhancing their overall efficiency and effectiveness.
Furthermore, a recent study released emphasizes the significance of public sector support in the integration of payment systems. It underscores the necessity of collaborative platforms while also recognizing the various challenges faced during real-world implementation processes.
The study contends that the outcome of payment system integration will rely more on policy decisions than on technological constraints. It outlines the requirement for a unified transaction language and robust governance to maintain financial integrity across payment systems. Additionally, it discusses several obstacles such as attracting users to the systems, exploring the potential of publicly owned fast payment service models, and addressing the need for cross-border functionality and standardization.
In summary, these new measures and studies indicate a strong commitment to advancing the global adoption of standardized payment practices that ensure the safety, efficiency, and integrity of cross-border transactions. The collaborative efforts sought by the CPMI aim to streamline processes and foster a more interconnected financial ecosystem as the world continues its shift towards digital transactions and enhanced payment systems.