swift welcome: serving sri lanka to achieve financial stability and market competitiveness
DESCRIPTION
SWIFT Business Forum Sri LankaTRANSCRIPT
Eddie Haddad, Managing Director, Asia Pacific, SWIFT
SWIFT Welcome:Serving Sri Lanka to achieve financial stability and market competitiveness
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Sri Lanka: Achieving financial integration; increasing market competitiveness
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SWIFT in Sri Lanka
Over 3 last years growth: 9.4% in line with GDP
200k to 9m 22%
Since 1994 – 37 live institutions in 2014
Highest traffic in Payments and Securities
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Sri Lanka is ranked 15th in APAC for total sent FIN Traffic and 16th for
received FIN Traffic
SWIFT total FIN traffic in Sri Lanka
Weight per market in Sri Lanka YTD 2014
(traffic sent)
47.3% Payments
(3.4% growth)
40.4% Securities
(-2.3% growth)
8.2% Trade (-4.2% growth)
3.1% Treasury(-7.6% growth)
Average of 7% FIN growth per year from 30 + banks connected
SWIFT messaging cost has been reduced to 10% of what it was two decades ago…..
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Q2 Update 2014 - Services Availability
Services Q2 2014July YTD
2014Target 2014 YTD Status
FIN Core 99.992% 99.996% 99.99% ü
SWIFTNet Core 100.000% 100.000% 99.99% ü
ACCORD 99.996% 99.998% 99.96% ü
Euro1/Step1 99.988% 99.995% 99.95% ü
MNM 99.999% 99.999% 99.95% ü
CREST service 100.000% 100.000% 99.95% ü
TSU 100.000% 100.000% 99.90% ü
Sanctions 99.962% 99.984% 99.90% ü
Lite2 99.991% 99.993% 99.90% ü
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IR 680
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Corporate
Accountspayable
Accountsreceivable
Treasury
Other
Standardised
gateway
SWIFT for Corporates a single, standardised gateway
Corporate
e-banking Y
host to host X
e-banking Z
VAN
Internet
Leased line
Accountspayable
Accountsreceivable
Treasury
Other
Multiple bank channels Single, standardised gateway
– Lower cost– Transparency and view on
cash– Increased control and security– Reduced risk
– High cost– No global visibility on cash– Impossible to centralise– Challenge of multiple
connectivity channels and formats
SOURCE : International Chamber of Commerce
BPO : A new payment term instrument that supports increase demand for trade financing
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1950
1960
1970
1980
1990
2000
2010
2020
0102030405060708090
100
OALC
USD 2 trillion
USD 6 trillion
USD 33 trillion
Payments Market InfrastructuresSystems live on SWIFT
75 HVP systems (>240 Million pymts/year in 2014)29 LVP systems (>20 Billion pymts/year in 2014)
2000+ banks in 90+ countries
Central & Eastern EuropeAlbaniaAzerbaijanBosnia & HerzegovinaBulgariaCroatiaHungaryRomaniaRussiaLatviaPolandSerbia
North AmericaCanada
Central & Latin AmericaBahamasBarbadosChileCMCAColombia (service bureau)Dominican Rep. ECCBEl SalvadorGuatemalaHondurasTrinidad & Tobago Venezuela
Western EuropeDenmarkIceland NorwaySwedenSwitzerland UK
EurozoneTarget 2EBA Clearing (2 HVP, 1 LVP)AustriaBelgiumGermanyGreeceItaly (2 LVP) SpainIrelandThe Netherlands
Middle EastLebanonBahrainIsraelJordanKuwaitPalestineQatar
AngolaAlgeriaBotswanaBEACCOMESAEgyptGambiaGhana
KenyaLesothoMauritiusMoroccoNamibiaNigeriaSierra LeoneSouth AfricaSADC
Swaziland TanzaniaTunisiaUganda ZambiaZimbabwe BCEAO
Status_May 2014
HVP only
LVP only
Both HVP and LVP
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GlobalIPFAEurogiro
Africa
Asia Pacific - LIVE
AustraliaFijiHong KongMacaoNew ZealandPhilippinesSingaporeSri LankaThailandTaiwan (USD & RMB)Papua New Guinea
Asia Pacific - NEWBrunei (Q3, 2014)India (end 2014)Malaysia (2015)
Update
80+ SMI 64 countries
Securities Market InfrastructuresLive on SWIFT
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AfricaEgyptKenyaSouth AfricaZimbabweNigeria
Asia PacificAustraliaChinaHong KongIndiaIndonesiaJapanKoreaNew ZealandSingaporeSri LankaThailand
Central & Eastern EuropeArmenia KBulgariaCroatiaCzech RepublicHungaryKazakhstanPolandRomaniaRussian FederationSlovakiaSloveniaUkraine
North AmericaCanadaUSA
Central & Latin AmericaArgentinaBrazilChileMexicoEcuadorUruguay
Western EuropeDenmarkEstoniaLatviaLithuaniaNorwaySwedenSwitzerlandUnited Kingdom
EurozoneAustriaBelgiumFinlandFranceGermany GreeceIrelandItaly LuxemburgNetherlandsPortugal Spain CyprusMalta
Middle EastDubaiIsraelKuwait KLebanonQatarTurkey
Status YTD 2014
Legend Size Count
< 10,000 msgs S 23
10,000 - 1,000,000 msgs M 20
1,000,000 - 10, 000,000 msgs L 13
>10, 000,000 msgs XL 8
�⃰ Countries’ SMI is connected but currently no securities traffic
Taking considerations of all services, i.e. FIN, IA, FA
FATF 16
Quality
Business intelligence for Compliance
Sanctions list service
Sanctions KYC AML
Processing services
Traffic analysis
Standards
Data repository
KYC registry
AML testing & tuning
Scree-ning
TestingTraffic
restriction (RMA)
Financial Crime Compliance Services RoadmapLiveDevelopmentQualificationExploration
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Commonchallengesuniquesolutions
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