FSB全球金融稳定委员会-Enhancing-Cross_34页_1mb

Summary of the Document: Enhancing Cross-border Payments

Introduction

This document is a Stage 1 technical background report prepared by the Financial Stability Board (FSB) for the G20 as part of a three-stage process to develop a roadmap for enhancing cross-border payments. The report outlines the current state of cross-border payment systems, the challenges and frictions they face, and areas for further exploration.

The FSB has formed a Cross-border Payments Coordination Group (CPC), co-chaired by Jon Cunliffe (Chair of CPMI) and Alejandro Diaz de Leon (Governor of Bank of Mexico), to conduct this assessment. The CPC includes key international organizations such as the BCBS, BIS, FATF, IMF, and World Bank, as well as representatives from the G20 Presidency and other relevant FSB member institutions.

The report is intended to provide a baseline understanding of the cross-border payments market and its challenges, which will inform the development of building blocks in Stage 2 and a comprehensive roadmap in Stage 3, all aimed at improving the efficiency, accessibility, and integrity of cross-border payment systems.

1. Existing Arrangements for Cross-border Payments

1.1 Introducing the Cross-border Market

• Definition: Cross-border payments refer to fund transfers between individuals, businesses, or government agencies located in different jurisdictions.
• Types: The market is divided into retail and wholesale segments:
  • Retail: Involves end-users and includes P2P, P2B, and B2B payments.
  • Wholesale: Involves financial institutions and is used for large-value transactions, such as foreign exchange, trade financing, and securities trading.
• Trends:
  • Global cross-border payments have increased due to the growth of international trade, e-commerce, and migration.
  • International trade exports increased by 20% from 2008 to 2018, and e-commerce transactions are 15–20% international.
  • Remittances have grown significantly, reaching $707 billion in 2019, with G20 countries accounting for over 50% of the total.
  • The average cost of sending $200 remains at 6.82%, higher than the G20 commitment of 5% and the UN target of 3% by 2030.

1.2 Retail End-user Facing Environments (Front End)

• Payment Instruments: Include cash, payment cards, electronic fund transfers, and e-money.
• Persons:
  • Use international payment cards (credit or debit) for purchases and remittances.
  • E-money wallets and FinTech services are increasingly used, especially in Africa.
  • Informal systems like Hawala are still used, particularly in EMDEs.
• Businesses:
  • Use bank transfers and payment cards for cross-border transactions.
  • Often pay salaries, taxes, and tariffs to foreign entities.
• Government:
  • Use bank transfers and payment cards for benefits, pensions, and purchases.
  • Payments to other governments or international organizations are typically done via bank transfers.

1.3 Architecture of Cross-border Payment Services (Back End)

• Key Models:
  1. Correspondent Banking: One bank holds deposits for another and facilitates cross-border payments. This model is widely used but faces challenges like costs, compliance, and liquidity.
  2. Single Platform: Same payment service provider (PSP) for payer and payee, eliminating the need for inter-jurisdictional connections.
  3. Interlinking: Links between national payment infrastructures, enabling PSPs to send and receive payments between countries.
  4. Peer-to-Peer (P2P): Direct payments between users without a financial intermediary. Still in early stages with limited testing.
• Messaging Protocols:
  • SWIFT is the most common messaging system used in correspondent banking.
  • Other arrangements may use proprietary formats.
• Legal and Regulatory Frameworks:
  • Cross-border payments are subject to multiple legal and regulatory regimes.
  • PSPs must comply with licensing, prudential supervision, AML/CFT, cybersecurity, transparency, consumer protection, and data regulations.

2. Challenges and Frictions in Existing Arrangements

2.1 Challenges in Existing Arrangements

• Main Challenges:
  • Cost: High transaction and compliance costs.
  • Speed: Delays in payment execution.
  • Access: Limited access to cross-border payment services, especially for EMDEs and the unbanked.
  • Transparency: Lack of clarity on fees and transaction details.
• Impact on Stakeholders:
  • Demand Side: Individuals and SMEs are most affected by cost and access issues.
  • Supply Side: PSPs face operational and compliance costs, and may avoid less profitable customers.
  • De-risking: Some banks have reduced their involvement in cross-border payments due to regulatory and compliance risks.

2.2 How Frictions Affect the Cross-border Payment Process

• High costs and delays can discourage users and reduce the volume of cross-border transactions.
• In EMDEs, these challenges can exacerbate financial exclusion and drive informal payment systems.
• The lack of transparency can lead to increased risk of money laundering and fraud.

2.3 Considerations for Policymakers

• Need to reduce costs and improve transparency.
• Promote financial inclusion and access to cross-border payment services.
• Encourage innovation and regulatory harmonization to support new technologies and models.
• Address regulatory fragmentation and compliance burdens on PSPs.

3. Areas to Explore Further in Developing the Roadmap

• The report identifies areas that need further exploration, including:
  • The role of distributed ledger technologies and blockchain in improving cross-border payment efficiency.
  • The potential for interlinking and integration of payment infrastructures.
  • The impact of regulatory frameworks on innovation and access.
  • The development of global standards and coordinated data collection.

Annex: Trusted Ledger Arrangements for Payment Arrangements

• Trusted ledger systems (e.g., blockchain and distributed ledger technologies) offer potential for secure, transparent, and efficient cross-border payments.
• These systems may be used to support peer-to-peer transactions and reduce reliance on traditional correspondent banking.
• However, they are still largely untested and require regulatory clarity and technical integration.

Conclusion

The report highlights the importance of cross-border payments in the global economy and the need for reform to address current challenges. It outlines the key issues affecting the market, including cost, speed, access, and transparency, and suggests that international cooperation, regulatory alignment, and technological innovation are essential for improving the efficiency and inclusivity of cross-border payment systems. The findings will inform the next stages of the G20 process, including the development of building blocks and a comprehensive roadmap.