1999年-ECB欧洲央行_TARGET_and_payments_in_euro_11页_138kb

Summary of TARGET and Euro Payments

Core Content

TARGET (Trans-European Automated Real-time Gross settlement Express Transfer) is a real-time gross settlement (RTGS) system established to support large-value cross-border payments in the euro. It was introduced in 1998 to ensure the smooth functioning of financial markets within the euro area, which became a reality with the euro's introduction on 1 January 1999.

Main Objectives of TARGET

• To facilitate the integration of the euro money market.
• To improve the soundness and efficiency of cross-border payment systems.
• To allow for the seamless transfer of central bank money across borders, similar to domestic transactions.

Key Features of TARGET

• Decentralised Structure: Credit institutions maintain settlement accounts with their home central bank.
• Cross-border Processing: Payments are settled directly between national central banks (NCBs).
• No Value Limits: TARGET can process payments of any value.
• Transparent Pricing: Cross-border fees are based on transaction volume, with a degressive scale:
  • First 100 transactions: EUR 1.75
  • Next 900 transactions: EUR 1.00
  • All subsequent transactions: EUR 0.80
• Operating Hours: Open from 7 a.m. to 6 p.m. ECB time, with a customer payment cut-off at 5 p.m.
• Liquidity Management: Offers intraday credit at no cost, with minimum reserves available for settlement.
• Collateralisation: Intraday credit is fully collateralised, with a wide range of eligible assets.

TARGET's Role in the Euro Area

• Primary Use: Mainly for interbank payments, while commercial payments are processed via alternative systems.
• Safety and Flexibility: TARGET is preferred for high-value payments due to its robust and secure infrastructure.
• Parallel Systems: Several large-value payment systems operate alongside TARGET, including Euro I, Euro Access Frankfurt (EAF), Paris Net Settlement (PNS), Servicio Español de Pagos Interbancarios (SEPI), and Pankkien väliset On-line Pikasiirrot ja Sekit (POPS).

Challenges and Future Outlook

• Technical Improvements: TARGET needs to enhance its infrastructure to reduce technical incidents and lower costs.
• Harmonisation: Long-term goals include greater harmonisation of national RTGS systems and the introduction of additional services.
• Integration of New Countries: As more countries join the euro area, TARGET must adapt to ensure continued efficiency and coverage.

Year 2000 Compliance

• TARGET successfully completed its test cycles and demonstrated year 2000 compliance on 25 September 1999.
• A moratorium was in place from 1 October 1999 to 1 March 2000 to ensure smooth transition.

Experience and Performance

• TARGET commenced live operations on 4 January 1999 with around 5,000 participants.
• On its first day, it processed 156,000 payments totaling EUR 1.18 trillion, including 5,000 cross-border payments of around EUR 245 billion.
• By the end of the first week, cross-border payments reached 20,000 to 30,000 transactions per day, valued at EUR 300 to 400 billion.
• Daily average volume of all TARGET payments (cross-border and domestic) was over 163,000, with a total value of EUR 880 billion.
• Cross-border payments averaged around 30,000 transactions per day with a value of EUR 352 billion.
• Domestic payments averaged 133,000 transactions per day with a value of EUR 532 billion.

Co-existence of Payment Systems

• Euro I (EBA): The most used alternative to TARGET, with 71,600 daily payments and a value of nearly EUR 170 billion.
• Euro Access Frankfurt (EAF): A hybrid system with 46,000 daily payments and a value of over EUR 140 billion.
• Paris Net Settlement (PNS): Processes around 21,000 daily payments with a value of EUR 90 billion.
• SEPI: A smaller system with 3,900 daily payments and a value of EUR 3 billion.
• POPS: A smaller system with 3,300 daily payments and a value of EUR 1 billion.

Impact on Correspondent Banking

• Correspondent banking has seen a significant reduction in the number of relationships and a trend towards concentration among major institutions.
• Banks still maintain some correspondent accounts for processing national currency payments until 2002.

Efficiency and Cost Issues

• TARGET's heterogeneous nature leads to efficiency and cost challenges.
• Modifications to the TARGET software require 15 separate implementations, indicating a need for system harmonisation.
• Despite these issues, TARGET remains the standard for large-value cross-border payments due to its safety and liquidity management.

Summary of Key Statistics

• Daily Average Volume of all TARGET payments: ~163,000
• Daily Average Value of all TARGET payments: ~EUR 880 billion
• Cross-border Volume: ~30,000 transactions
• Cross-border Value: ~EUR 352 billion
• Intraday Credit: Fully collateralised, with no cost for unlimited intraday credit.
• Collateral Stock: Over EUR 5.5 trillion eligible for settlement in the euro area.