KUALA LUMPUR: Bank Negara and Payments Network Malaysia Sdn Bhd are collaborating with international partners on a proof-of-concept to improve the cost and speed of cross-border payments.
The central bank said the proof-of-concept, dubbed Project Nexus, will explore the feasibility of linking the real-time payment systems in Malaysia, Singapore and the eurozone area. It said this will enable customers to send and receive cross-border payments instantly and securely.
“The results, expected to be published by end-2022, will inform future development of a global network of real-time payment systems to enable fast and seamless cross-border payments.
“The prototypes developed under the proof-of-concept will not be available for public use at this juncture,” Bank Negara said in a statement.
Led by the Bank for International Settlements Innovation Hub, Project Nexus is closely aligned with the G20 Roadmap for Enhancing Cross-border Payments.
Other international partners in the project are Banca d’Italia, the Monetary Authority of Singapore and the Banking Computer Services Pte Ltd.
Assistant governor Fraziali Ismail, said that Project Nexus was a positive move for cross-border payments.
“Our participation in Project Nexus underscores Malaysia’s commitment to future-proof the country’s key payment infrastructures.”