Fast security compliance through next generation financial messaging

Posted on: February 19, 2018 by Olaf Badstubner

Today’s worldwide backbone of interbank communication is based on SWIFT, a single operator, ensuring the exchange of financial messages worth trillions of Euros between around 11,000 institutions. Five years from now, the way these exchanges are done will look entirely different from how they are managed today.

A key driver for change is the spectrum of increasing cyber threats. In response, SWIFT, the industry cooperative that is responsible for secure financial messaging across the financial services community worldwide, launched its Customer Security Programme (CSP) to improve information-sharing, provide a framework to safeguard protection and act as an accelerator for the implementation of drastically enhanced security measures.

In particular, they focussed on the mandatory implementation of the customer’s SWIFT infrastructure in a “SWIFT Secure Zone”. This has been a major pain point for the industry and was one of the main drivers for a major European bank, one of the top 15 in terms of its messaging volumes, to become a forerunner in sourcing messaging services from equensWorldline based on Intercope’s BOX Messaging Hub -- the first fully CSP-certified SWIFT interface vendor. With the deadline of year end 2018 to be fully CSP compliant for all SWIFT users outsourcing to a Service bureau with a fully CSP compliant messaging interface becomes an attractive way out of the CSP compliance dilemma.

Together with Intercope, Atos’ subsidiary equensWorldlinecreated the first-ever fully CSP-compliant highly secure and scalable Financial Messaging Service for financial institutions of all types and sizes, including tier 1 banks.

Game-changer for banks

For the first time, outsourcing to a certified SWIFT Service Bureau is a realistic and attractive option for tier 1 banks that previously operated their SWIFT infrastructures in-house. To operate and protect these mission-critical environments, it’s essential to act flexibly and to understand the financial messaging business inside out.

In addition to cost-efficiency, the game-changer for banks is new flexibility within the services, eliminating single points of failure and creating the agility to switch between different networks and Clearing & Settlement Mechanism. s. This neutralises dependencies, enhances resilience and minimises operational risks when banks interconnect with other banks.

This joint solution of Atos / equensWorldline and Intercope helps to disrupt financial messaging monopolies of today, creating further competition in the market.

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About Olaf Badstubner
Global Director Financial Services and member of the Scientific Community
As Global Director Financial Services at Atos, Olaf is heading the strategic go-to-market of Risk, Compliance and Regulatory Reporting. He is a deeply accomplished and agile market strategy & business development executive with strong international management experience and a proven track record in banking for almost 20 years. Prior to Atos he served as Director at Siemens with responsibility of financial services clients. He also served as Management Consultant at Siemens with strong focus on banks. Olaf is a graduated engineer (Dipl.-Ing.) in Information Technology of Ilmenau University of Technology and started his career at a German bank in 1996

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