The financial world has been quite busy since adopting ISO 20022 messages for cross-border payments and reporting (CBPR+) starting on 21 August 2022 on an opt-in basis and November 2022 for general availability. There has been further progress on upgrading the messaging interfaces for receiving and handling multi-format MT and MX messages.
There are only a few days to prepare before the big go-live date of 20 November. ECS Fin believes that everyone’s focus should be on testing in order to open a lucrative opportunity for enriched global data exchange amongst all industries. SWIFT surveyed major originating banks based on their activation plans and revealed that approximately 17% of total cross-border payment traffic to be originated in the format of ISO20022 messages at the start of the coexistence period. However, due to the data-rich nature of ISO 20022 formats, migration between legacy message formats may result in data loss due to truncation.
As per the research, we can keep data truncation high on the key compliance challenges during the coexistence period of MT and MX messages. IMS safe-keeps all golden copies and translated messages so that they can be utilized later by interested parties and regulators.
If you start your journey now to adopt ISO 20022 messages, it will ensure that you are afloat for go-live on ISO20022 for cross-border payments and reporting (CBPR+) and the start of the coexistence period, from March 2023. Remember that not being ready for this period could significantly halt your business operations, with transactions and payment instructions from other banks couldn’t be processed seamlessly. Some key timelines to note:
ECS Fin has discovered the following steps to help ensure your organization’s readiness for ISO 20022. Our enterprise-centric solution, IMS, is designed to support you at any stage of ISO 20022 migration. IMS works seamlessly between all internal applications and external entities of an enterprise. It captures data in well-organized data tables, which enables internal applications to stay focused within their scope of activities.
It’s time to upgrade your message interface to a new version that supports multi-format MX messages.
Configure your messaging interface with IMS solutions to support the entire lifecycle of data travel.
Start validating your organization’s readiness for processing ISO 20022 messages globally.