The Bank for International Settlements' Committee on Payments and Market Infrastructures (CPMI) has published harmonised ISO 20022 data requirements amid fears over the inconsistent application of the international messaging standard across different jursidictions.
The data requirements, published in Harmonised ISO 20022 data requirements for enhancing cross-border payments - final report to the G20, establish a consistent minimum set of messaging standards for more efficient processing of cross-border payments.
Sir Jon Cunliffe, chair of the CPMI and deputy governor for financial stability at the Bank of England, says: "The increased adoption of ISO 20022 by payment systems around the world is a major opportunity to improve their interoperability. But this opportunity will not be realised if jurisdictions implement the international messaging standard for payments in inconsistent ways. The CPMI's harmonised ISO 20022 data requirements address that risk and provide a common basis for use of the new messaging standard in cross-border payments."
How far the benefits of adopting these requirements are realised will depend on their uptake. Market participants are encouraged to begin preparations to align with the harmonised ISO 20022 data requirements in earnest and by end-2027 at the latest.
Michele Bullock, former co-chair of the CPMI Messaging Workstream, and governor of the Reserve Bank of Australia, comments: "Implementation of these data requirements will require coordinated effort across the global payments community, but the entire community stands to benefit in the long run from a convergence on these shared data practices."