COMESA CLEARING HOUSE

Transcription

1 Regional Payment & Settlement System (REPSS) COMESA CLEARING HOUSE

2 COMESA Common market of eastern and southern Africa is a free trade area with nineteen member states stretching from Libya to Swaziland.

3 COMESA MEMBERS BURUNDI COMOROS DJIBOUTI ERITREA ETHIOPIA LIBYA MADAGASCAR SEYCHELLES ZIMBABWE ZAMBIA CONGO, DR RWANDA MAURITIUSNDA KENYA MALAWI SWAZILAND UGANDA EGYPT SUDAN

4 Common Market For Eastern & Southern Africa COMESA

5 REGIONAL PAYMENT AND SETTLEMENT SYSTEM (REPSS)

6 Is a Payment system that links central Banks Where the commercial banks can participate only through central banks. Current Settlement Currencies are US Dollar and Euro.

7 REPSS Payment scheme A A B B Customer A (Payer) Customer B (Beneficiary)

8 Payment Exchange Process Commercial bank sends payment to Central bank Central Bank sends payment to REPSS REPSS includes this payment into clearing, settles Session results through Settlement Bank. REPSS routes a payment to Receiving Central Bank. Central Bank Sends it to Commercial Bank Receiver Commercial Bank receives payment and distributes it to Customer-Receiver

9 REPSS Central Banks Participants Central Bank of Egypt Bank of Zambia Banque Central du Congo National Bank of Rwanda Central Bank of Kenya Reserve Bank of Malawi Central bank of Swaziland Bank of Uganda Bank of Mauritius

10 Stakeholders Roles

11 REPSS Stakeholders REPSS. Bank of Mauritius Central Bank of Egypt Commercial banks

12 Stakeholders Roles REPSS Roles Clearing house Bank of Mauritius Role Settlement Bank System Operator

13 Stakeholders Roles Central Bank of Egypt Roles Direct Participant in the REPSS Managing Commercial Banks indirect participation to the REPSS System

14 Stakeholders Roles Commercial Bank Roles Indirect participant in the REPSS Clearing house Banks will use their foreign currency accounts at CBE to fund their REPSS transactions Interact with clients requests

15 Benefits Reduces foreign correspondent banking charges Reduces settlement time period Provides high trust channel as payments are exchanged through central banks.

16 REPSS Phases Phase 1 Phase 2 Live operation status, CBE participated May 2017 Targets the normal funds transfer instructions that are not dependent on any conditions e.g.. individuals & corporate payments. Settlement on T+1 basis CBE working on study to decrease settlement time to T+0 Enrich the system with payments that are dependent on such conditions as trade finance transactions and cash against documents in addition to normal fund transfer instructions

17 REPSS Accepted Messages Types MT103 MT202

18 REPSS work flow - Outgoing transaction Use Case Business Day T+0 1. Commercial bank sends MT103 to CBE requesting for a payment to another participant on the REPSS system on T+0 business day. 2. Commercial instructs his correspondent bank to cover CBE correspondent with total value of REPSS payments on T+0 business day.

19 REPSS work flow - Outgoing transaction Use Case Business Day T+1 1. At start of day, CBE will check with its correspondent bank the settlement of cover payment

20 REPSS work flow - Outgoing transaction Use Case 2. If settlement confirmed, CBE forwards to REPSS the transactions sent by the commercial bank on T+1 3. If settlement rejected, CBE will reject the transaction

21 REPSS work flow - Incoming transaction Use Case Business Day T+0 1. CBE Receives a credit notification in favor of Egyptian commercial banks from REPSS system on T+0 business day 2. CBE at end of day credits the commercial bank account and forwards original MT103/MT202 received from REPSS on T+0 business day

22 Operation Schedule Window Name Time Activity Start value day 8:30 AM Banks to CBE Exchange window Clearing and approval Forwarding credit Messages 8:30 AM to 2:30 PM 2:30 PM to 3:00 PM 3:00 PM to 3:30 PM Bank can send MT103 for messages in addition to MT210 for crediting their accounts Only payment that was credited with MT210 will be accepted CBE forwards Credit messages received from REPSS to commercial banks books Sending MT950 3:30PM CBE sends MT950 to commercial Banks

23 REPSS Support Team Hotline: (+20)