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The Swiss National Bank (SNB) and the European Central Bank (ECB) have announced the launch of an exploration phase to evaluate the potential interlinking of their instant payment infrastructures — Switzerland’s SIC instant payment service and the Eurosystem’s TARGET Instant Payment Settlement (TIPS).
The initiative, which will run through 2026, aims to assess the technical feasibility and economic viability of connecting the two systems. If successful, the project would mark a significant step toward enabling cross-currency instant payments between the Swiss franc and the euro.
Why It Matters
Instant payment systems allow individuals and businesses to settle domestic account-to-account transactions in seconds, with immediate finality, 24/7 — including weekends and public holidays. Beyond speed, instant settlement reduces counterparty risks and enhances liquidity management for banks and corporates.
By establishing an interlink, payments initiated in one currency area could be credited to accounts in the other area within seconds, creating a more seamless and efficient cross-border payments environment.
Broader Policy Context
The move aligns with global efforts led by the G20, BIS, and the Financial Stability Board to make cross-border payments faster, cheaper, more transparent, and universally accessible. For Europe and Switzerland, it also strengthens regional financial integration while supporting strategic autonomy in payments infrastructure.
The SNB and ECB emphasized that this phase is exploratory, with a focus on identifying operational, legal, and regulatory considerations before any implementation decisions are made.
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