Nexus Scheme to Enable Instant Mobile Payments Across Four Countries
Central banks and instant payment service providers in Singapore, India, Malaysia, Thailand, and the Philippines created the Nexus Scheme Organisation. The initiative aims to streamline cross-border payments, announced by the Bank for International Settlements on July 1. Nexus standardizes connectivity for instant payment providers, enhancing speed, cost, and safety.
Central banks and instant payment service providers in Singapore, India, Malaysia, Thailand, and the Philippines have established rules to create the Nexus Scheme Organisation (NSO).
Announced by the Switzerland-based Bank for International Settlements (BIS) on July 1, the initiative aims to streamline cross-border payments.
While payment systems like PayNow-PromptPay and PayNow-UPI exist for bilateral transactions, Nexus standardizes connectivity for instant payment service providers.
Initiated by the BIS Innovation Hub in 2022, Nexus can expand to additional countries, enhancing payment speed, cost, and safety.
The system can handle small but regular overseas transfers more efficiently than traditional banking, benefiting individuals and small businesses.
BIS' annual report also highlights the potential of AI to improve central bank decision-making, urging central banks to elevate their capabilities.