SWIFT gpi - going forward

The implementation of UETR (the Unique End-to-end Transaction Reference) in November 2018 was a major step towards full adoption. With UETR now mandatory for all banks (gpi and non-gpi), a unique end-to-end tracking identifier is now included in the header of a payment message and carried right through the payment’s journey to the beneficiary bank.

ABN AMRO has been live with gpi since its launch in early 2017 and we embrace the advantages SWIFT gpi offers. For example, before the end of 2020, we aim to report the final status of any transaction initiated by corporates. So you know for sure that the transaction has reached the beneficiary. As a next step, we will expand this service so you always know where your transaction is, and what costs have been deducted and where.

Besides the universal tracking of payments, the following services by SWIFT are also worth highlighting:

• Pre-validation (controlled live phase): SWIFT improves the end-customer experience and end-to-end Straight-Through-Processing (STP) of gpi payments, by allowing gpi customers to validate payments before they are sent. The service has started with the Beneficiary Account Verification service, which verifies the existence of the beneficiary account prior to sending a payment instruction.
• Inbound tracking (pilot): SWIFT provides real-time notification of incoming payments, thus optimising cash forecasting and liquidity management, and improving exception handling. In addition, customers will be able to release goods prior to receiving an advice of credit, as they will know the funds have been transferred.
• Case resolution: improves the customer experience around enquiries and investigations related to gpi payments.
• Instant Payments (pilot): extends the gpi experience deeper into domestic markets and increases the speed of end-to-end cross-border payments. A next step towards creating ‘real-time’ payments across the globe. ABNAMRO is preparing its non-SEPA payment process for this so once this feature becomes available in a country our clients can benefit.

• Speed: SWIFT gpi drastically reduces cross-border payment times; 95% of gpi payments are credited to end-beneficiaries within 24 hours, of which even 40% are credited within 5 minutes. Payments taking longer do so for a known reason, such as extra document checks or existing FX controls.
• Traceability & universal (end-to-end) tracking: the SWIFT gpi Tracker lets you track a payment’s status in real time, just like a parcel. Any gpi bank can track any gpi payment instructions end-to-end between all 11,000 financial institutions on SWIFT.
• Fee transparency.
• Unaltered remittance information.

SWIFT gpi is an important step on the road to a hyper-connected financial industry, where value moves around the world in a matter of seconds. Meanwhile, SWIFT is already working on the next step, the creation of a global API-based Transaction Management Platform.

In this vision, SWIFT moves away from sequential messaging towards an API-based platform with immutable transactions that can be accessed by all parties involved and offers true transparency. The platform should also cover fraud, anti-money laundering and sanctions.

In close collaboration with its global community, SWIFT is fleshing out its plans for delivering its vision. A first version of the Transaction Management Platform is scheduled to go live in November 2022 (the minimum viable product, based on existing services).

ABN AMRO believes strongly in SWIFT’s vision to establish a Transaction Management Platform. Therefore we will contribute to its further development and join from the start.

Simply put, being a gpi bank means ABN AMRO can give you a better service. We will continue to evaluate new gpi services and determine how best to integrate them into our own services to you. Working towards a world of friction-free cross-border payments.