Global: Real-Time Payments Achieve Significant Milestones in the US, Switzerland, and Australia

Real-time payments continue their global surge, as financial institutions and governments enhance current systems and introduce new platforms to meet the growing demand for instant transactions.

In Australia, the real-time payments ecosystem is expanding through a new cross-border payments initiative between BNY and the Commonwealth Bank of Australia (CBA). This collaboration allows Australian businesses and individuals receiving payments from BNY customers to access funds in under 60 seconds, regardless of their banking institution. The partnership leverages Australia’s New Payments Platform (NPP) International Payments Service (IPS), with CBA facilitating the final stage of BNY’s cross-border transactions.

Meanwhile, Switzerland has made a significant leap forward, as the Swiss National Bank (SNB) officially launched its real-time payments network, building on the technical infrastructure developed with SIX Interbank Clearing in November 2023. This new system supports about 60 financial institutions, which handle over 95% of Switzerland’s retail payment transactions, allowing them to process payments instantly. Several banks have already begun offering real-time payment services to retail customers, with more expected to join. The SNB aims to have all financial institutions integrated into the instant payment network by the end of 2026.

U.S. Expansion and FedNow Milestone

In the United States, real-time payments are making substantial progress, highlighted by the FedNow® Service celebrating its first anniversary. Over 900 financial institutions (FIs) now participate in the system, ranging from small banks with assets under $500 million to large institutions exceeding $3 trillion. Community banks and credit unions make up 78% of the total participants, demonstrating the widespread interest across financial sectors. Additionally, numerous FinTechs are incorporating FedNow’s capabilities alongside existing Federal Reserve payment services like Fedwire and FedACH, showcasing strong industry enthusiasm for real-time payment adoption.

Smaller financial institutions are also increasingly embracing real-time payments. Minnesota-based Affinity Plus Credit Union has introduced a new service that allows members to receive funds instantly via The Clearing House’s RTP® network and FedNow Service. This service offers secure, immediate transactions across various U.S. financial institutions, benefiting small business owners, gig economy workers, and individuals in need of rapid access to funds. It also enhances cash flow management, provides financial stability for gig workers, and facilitates faster emergency insurance payouts and disaster relief support.

Global Real-Time Payments Expansion

The “Real-Time Payments World Map,” developed in collaboration with The Clearing House, continues to track the rapid expansion of instant transactions globally. These developments underscore the increasing importance of real-time payments in facilitating smoother, more efficient financial transactions across borders and within local economies.