New service in RIX for immediate payments
The Riksbank has complemented RIX with a new service, RIX-INST, enabling payments to be settled between banks in real time, round-the-clock, all year round (24/7/365), in central bank money. The Riksbank has concluded an agreement with the Eurosystem on using the TARGET Instant Payment Settlement (TIPS) platform that enables this.
Payments in RIX round the clock
The Riksbank has two parallel settlement services: RIX-RTGS for the settlement of large-value payments between banks and RIX-INST for the settlement of instant payments. Connecting RIX to the ECB’s TIPS platform makes it possible to make many smaller payments 24 hours a day.
Households and companies already use the mobile app Swish to make instant payments. However, Swish payments are made via banks on a private technical platform and not via the Riksbank’s RIX payment system. The advantage of RIX-INST is that the Riksbank is responsible for settlement. Settlement of payments takes place when liquid funds are transferred from one RIX participant’s account to another RIX participant’s account. Central bank money is the safest way for banks and other financial institutions to make payments between each other as the Swedish state stands surety for the value of the money. The current division of work between the public and the private sector will remain: the private sector offers payment services to its customers and the Riksbank is responsible for settlement in central bank money.