JAKARTA – Five central banks in Southeast Asia complete the blueprint of Nexus Project Phase III, involving the standardisation of connectivity method of Instant Payment System (IPS). This project is an initiative of Bank of International Settlements (BIS) aimed to enhance cross-country payment system.

In the information disclosure quoted Monday (1/7), Perry Warijyo, Governor of BI, said that Nexus Project is meant to attain cross-border payment with an implementation of solid, inclusive policy framework, equipped with an effective risk management.

“This vision aligns with broader public policy objectives and aims to provide efficient and affordable cross-border payment solutions to individuals and businesses worldwide,” Warijyo said.

The Nexus Project blue print allows participating countries to establish an interconnection of domestic instant payment in global scale. This is the first project of BIS Innovation Hub in the payments area to move towards live implementation. BIS will act as an advisor, setting up operational scheme and providing opportunities for new participants across the globe.

Southeast Asia’s central banks involved in this project include BI, Bank Negara Malaysia, Bangko Sentral Ng Pilipinas, Monetary Authority of Singapore, and Bank of Thailand.

Agustin Carstens, General Manager of BIS, mentioned that G20 cross-border payments will be enhanced as the Nexus Project takes place.

“With the first wave of connected countries, Nexus has the potential to connect a market of 1.7 billion people globally, allowing them to make instant payments to each other easily and cheaply,” Carstens said.

In the future, Phase 4 of Nexus Project will focus on establishing a new entity, Nexus Scheme Organization (NSO), the responsible party for Nexus scheme, as well as continuing the mission to achieve instant cross-border payment. (LK/ZH)