U.S. Faster Payments Council Releases Third Cross-Border Payments Industry Bulletin


For Immediate Release

May 31, 2023 – The U.S. Faster Payments Council (FPC), a membership organization devoted to advancing safe, easy-to-use faster payments in the United States, today published the third edition of the Cross-Border Payments Bulletin in its Faster Payments Knowledge Center. The FPC Cross-Border Payments Work Group developed this latest industry bulletin to further explore the effect of Central Bank Digital Currencies (CBDCs) on cross-border faster payments.

The FPC Cross-Border Payments Work Group Bulletin.03 takes a look at the current CBDC market landscape, the distinction of wholesale versus retail distribution of CBDCs, and how liquidity management is orchestrated in the CBDC world. The bulletin also examines a few of the recent CBDC pilots and provides some lessons learned from these ongoing pilots and other research projects.

“The ongoing global CBDC initiatives are aimed at understanding the implications of CBDCs on the global economy, financial stability, and monetary policy,” said Barry Tooker, Principal at TransactionBanker.com and FPC Cross-Border Payments Work Group Chair. “This bulletin looks at some of the in-country, regional, and cross-border CBDC initiatives, the different implementation approaches being taken, the design frameworks being considered, and the different stages and motivations of and for CBDC adoption. On behalf of the FPC Cross-Border Payments Work Group, we trust that this bulletin will help broaden your understanding of this new form of currency and its possible usages going forward.”   

The series of bulletins is designed to educate the payments industry on the latest developments of CBDCs in the cross-border faster payments area. The first edition, Bulletin.01, serves as an introduction to the topic with definitions of digital currency terms, drills down into what CBDCs are, and provides examples of cross-border operating models. Bulletin.02 presents a simple cross-border correspondent banking payment flow model as a guidepost, discusses basic money movement flow to provide context into how cross-border funds move, and raises unanswered questions about money and information movement in the digital world.

Future editions of these bulletins will be focused on industry initiatives affecting and impacting cross-border payments such as ISO 20022, Immediate Cross-Border Payments (IXB), and Open Banking while continuing to monitor ongoing cross-border CBDC projects and initiatives.


The FPC prioritizes inclusion of diverse perspectives in tackling complex topics such as interoperability, identifying real-world solutions that can ease adoption of faster payments, managing security risks and fraud threats, addressing barriers to financial inclusion and cross-border payments, and more, as the organization paves the way toward a future of faster payments for all.


For more information on the FPC, its current work efforts or to join, visit FasterPaymentsCouncil.org.

Contact:
Elizabeth Grice 
U.S. Faster Payments Council                             
720-737-7368    
egrice@fasterpaymentscouncil.org
                                                 
About the U.S. Faster Payments Council (FPC)
The FPC is an industry-led membership organization whose vision is a world-class payment system where Americans can safely and securely pay anyone, anywhere, at any time and with near-immediate funds availability. By design, the FPC encourages a diverse range of perspectives and is open to all stakeholders in the U.S. payment system. Guided by principles of fairness, inclusiveness, flexibility and transparency, the FPC uses collaborative, problem-solving approaches to resolve the issues that are inhibiting broad faster payments adoption in this country. For more information, please visit FasterPaymentsCouncil.org.

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