![]() In 1999, SWIFT decided to adopt XML and develop a message standard that would recognize the richness of the data. SWIFT MT would not support the data that will be needed to be processed with each transaction. In the late 90s, SWIFT realized that the MT standard, although very useful, was restrictive in light of evolving technologies. While it has evolved over the years, the MT standard remains the most used message format on the SWIFT network, and it has made its way to many domestic and private networks worldwide. ![]() It was similar in structure to that of the Telex technology that the network replaced. The ISO 15022 standard, more commonly known as the SWIFT MT or Message Type standard, was introduced in 1995. Message standards and worldwide influenceįrom its inception, one of the key pillars of the SWIFT network is the message standard, a common language understood and processed by all its members. SWIFT became these companies’ single standardized connection to all their banks, adding efficiency and cost savings to treasuries worldwide. In fact, today more than 50% of messages on the SWIFT network involve securities trade transactions.Īs the network expanded to cover most financial institutions worldwide, SWIFT opened its doors to large corporations such as Microsoft and GE. SWIFT has extended the network to non-bank financial institutions, allowing the exchange of securities, foreign exchange and all other types of financial messages needed by its members. SWIFT FileAct, a bulk message exchange, allows correspondents to send and receive files mostly used to exchange bank statements or to exchange low-value, high-volume transactions. Over 60 market infrastructures, covering 85 countries, rely on the SWIFT network to clear and settle domestic transactions. SWIFT has reimagined domestic high-value payments. So much more than a “cross-border payments network,” SWIFT has grown to serve more than 11,000 members in over 200 countries, providing a wide array of financial messaging services and influencing and innovating payments worldwide. These pillars remain just as relevant 48 years later. This was indeed the case in 1973, when 239 banks from 15 countries joined forces to create an efficient, automated, and secure payments network.Īt launch, the Society for Worldwide Interbank Financial Telecommunication (SWIFT) was built on three pillars, a secure and reliable communication protocol, a set of message standards and continuous new services aligning with its members’ needs. ![]() Too many people in the payments industry today hold the misconception that the SWIFT network is only for cross-border payments.
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