RBA to update transaction processing and settlement system for new payment streams
Summary
"The Reserve Banks existing system does not support the new message formats," the RBA outlined in its invitation for EOIs. It comes after SWIFT announced plans to migrate cross-border and correspondent banking payments to the ISO 20022 standard. Specifically, the system, according to the RBA, must be able to monitor account balances in real time and allow for transactions ahead of release; automatically map instructions received from customers to a format that meets domestic settlement system requirements; be configurable to allow for straight processing and manual release of payment and security messages for domestic settlement; and send settlement confirmation messages to customers. At the same time, the system needs to be able to manage permitted types of SWIFT instructions, such as blocking third-party payments; integrate and support the RBAs existing banking and payments systems; provide application, activity, and performance monitoring; maintain audit trails of key activities; provide reporting capabilities; and support and maintain current and future messaging formats without additional customisation by the RBA. The banks assistant governor said the organisation is in a position where an understanding of cyber risks, and how best to respond, is part of its DNA.