Cable & Wireless says Barclays has become the first bank to sign up for its Real Time Nostro (RTN) direct service.
Cable & Wireless says the RTN “direct” service differs from its browser-based service in that data can be streamed directly into a bank’s systems from the RTN hub as soon as transaction information is available on the agent bank’s system. This allows the user bank’s existing IT systems to receive and process transaction data immediately.
Cable & Wireless claims that, as a result, the user bank will realize significant improvements in its liquidity management processes, enabling the real time management of reconciliations and transaction adjustments. The immediate provision of streamed data also delivers significant STP improvements and will mean banks can manage trade exceptions intra-day, significantly reducing risk exposure and any resultant cost penalties, adds Cable & Wireless.
“Real time information on nostro accounts, and a direct feed on this data, will provide Barclays with increased scope to manage cash positions in real time,” says Barry Holland, Director of Treasury Operations, Barclays Capital. “The ability to secure information a whole day earlier than current market practices will allow, affords significant benefits in terms of liquidity management and operational processes.”
Gerard Hammarlund, Sales Director, Cable & Wireless Real Time Nostro, adds that the launch of the RTN direct service is a significant step for RTN. “The streaming technology provides a continual source of information for banks on the status of their transactions and enables faster reconciliation and exceptions management, much earlier in the trade cycle,” he says. “Barclays’ agreement to use this service reflects a growing trend in the industry towards a real time operational environment and satisfying the growing regulatory and risk demands being placed on banks.”
Barclays Capital has already announced that they will provide data into the RTN service.