Log in
Login
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesHot NewsMost Read NewsRecomm.Business LeadersCalendar 

Reserve Bank of India : RBI Governor launches new ISO 20022 compliant RTGS System

share with twitter share with LinkedIn share with facebook
share via e-mail
0
10/19/2013 | 12:21pm CEST

Dr. Raghuram Rajan, Governor, Reserve Bank of India, today launched the new Real Time Gross Settlement (RTGS) system of the Reserve Bank of India. Complimenting the entire team for successfully completing the project, the Governor said, "The new RTGS system is a great example of what we are capable of when we put our minds to it." He added that payment system like plumbing has to be efficient and ahead of the financial markets to be able to take care of the future developments in the financial markets. With its advanced liquidity and queue management features, the new RTGS system is expected to significantly improve the efficiency of financial markets. He hoped the new RTGS system would be such a driver for India's financial system.

Reportedly the first in the world to be built on ISO 20022 messaging standards, the new RTGS system is highly scalable and will have several new functionalities. These include advance liquidity features, including gridlock resolution mechanism and hybrid settlement facility, facility to accept future value dated transactions, options to process multi-currency transactions, etc. These functionalities, as and when made available for use, will be notified to the participants.

The new ISO 20022 compliant RTGS system provides three access options to participants - thick-client, Web-API (through INFINET or any other approved network) and Payment Originator module. The participants can decide the mode of participation in the system based on the volume of transactions and the cost of setting up the infrastructure.

The Real Time Gross Settlement (RTGS) system is a large-value funds transfer system which banks use to settle interbank transfers for their own account as well as for their customers. It was first implemented in India in March 2004 as a major technology based electronic funds transfer system across the country. The system facilitates customer, inter-bank payment on a 'real' time and on gross basis. The system also facilitates settlement of Multilateral Net Settlement Batch (MNSB) files emanating from other ancillary payment systems. The RTGS infrastructure is critical in facilitating the orderly settlement of payment obligations. The role of central banks as operators of large-value payment systems is important in the context of the broader role of the central bank in a nation's financial system insofar as it offers "safety net" attributes by providing final settlement in central bank money.

RTGS is a critical Financial market Infrastructure (FMI) operated by the Reserve Bank of India and it will be assessed against the Committee on Payment and Settlement Systems and the International Organisation of Securities Commissions (CPSS-IOSCO) "Principles for Financial Market Infrastructures" applicable to FMIs.

With implementation of the new RTGS system, the existing RTGS system will cease to be operational. Further, the "RTGS System Regulations 2013" would replace the RTGS (Membership) Business Operating Guidelines, 2004 and RTGS (Membership) Regulations, 2004.

Alpana Killawala
Principal Chief General Manager

Press Release : 2013-2014/819



distributed by
share with twitter share with LinkedIn share with facebook
share via e-mail
0
React to this article
Latest news
Date Title
08:58a Quarterly report per Q1 2016
08:57a CHORUS CLEAN ENERGY : Combination of CHORUS Clean Energy AG and Capital Stage AG to create one of the leading operators of renewable energy power plants in Germany and Europe
08:57a CHORUS CLEAN ENERGY : Capital Stage AG announces a voluntary takeover offer for CHORUS Clean Energy AG
08:56a Airbus to detail plan to boost delayed deliveries, hit 2016 goal
08:56a DGAP-REGULATORY : Sydbank share buyback programme: transactions in week 21
08:56a SYDBANK SHARE BUYBACK PROGRAMME : transactions in week 21
08:56a HSBC : boosts oversight of safety boxes in Hong Kong
08:53aDJASIA MARKETS : Nikkei Shoots Up Over 1% After Yellen Comments Trigger Yen Weakness
08:52a JAPAN RETAIL FUND INVESTMENT : Lengthening of Contract Periods of Commitment Line Agreements (58KB)
08:52a PHOENIX SOLAR : to build 10.2 MWp. in Turkey
Latest news
Advertisement
Hot News 
FIRST SENSOR : Changes to the Management Board of First Sensor AG (more)
ROCHE : First PT/INR home self-testing device with Bluetooth technology enabling remote care programmes for anticoagulated patients
ALBIOMA : Signature of a third project in Brazil
KONAMI : Shareholders Situation As of March 31, 2016
OMRON : Introduces Sensors Enabling Stable Detection of Color Marks on Food Packages, Better Productivity in Packaging Process
Most Read News
01:03a Oil prices dip on strong dollar, rising Canadian output
05/29DJMizuho Chief Warns of Japan Downgrade if Abe Delays Tax Increase
Most recommended articles
02:56a Airbus to detail plan to boost delayed deliveries, hit 2016 goal
01:43aDJDollar Advances to One-Month High Against Yen on Yellen Comments
01:25aDJAsian Shares Mostly Higher After Yellen Comments
01:24a DALIAN WANDA COMMERCIAL PROPERTIES COLTD : makes $4.4 billion offer to take Hong Kong-listed property arm private
12:39aDJMETRO PACIFIC INVESTMENTS : Unit Plans PHP42 Billion, 3-Year Spending for Water Projects