Asian banks pilot cross-border payment test over RippleNet
The collaboration aims to streamline cross-border payments.
Mitsubishi Corporation, MUFG Bank, Bank of Ayudhya and Standard Chartered have jointly launched the pilot test for moving real funds over the cross-border payment network of RippleNet, according to a press release.
The collaboration aims to make cross-border payments more convenient and improve the capital efficiency of corporate entities. It leverages on Ripple’s software which makes use of an internet protocol to provide pre and post-settlement messaging function and enable real-time settlement and delivery of funds.
The pilot test will be carried out by MC between accounts of subsidiaries in Thailand and Singapore under the Bank of Thailand regulatory sandbox framework and is the first result of a joint project between the companies to improve cash management with a real-time, multi-currency, multiple-bank platform.
The sending bank is the Bank of Ayudhya and sender is Thai-MC Company Limited.
On the other hand, the receiving bank is Standard Chartered Singapore and recipient is MC Finance & Consulting Asia Pte Ltd.
The transaction will be denominated in Singapore dollar.