Latest developments in Rouble Settlements via SWIFT Tatiana Fateeva Director for Business Development, Banking Sector Russia, CIS & Mongolia

2 Agenda Some statistics Rouble Settlements via correspondent banking The Russian RTGS and SWIFT

Traffic patterns Russia CIS 3 Trade Treasury Securities Payments Trade Treasury Securities Payments Volumes (MMsg) Growth (percent) Total Russia_CIS 2,531 1,582 26

RUB customer payments market in Russia Only traffic in RUB is taken into account Only Customer payments are taken into account (MT103s) BIC8 country & BIC8 counterparty country = Russia 4 Evolution of RUB payments in Russia (# of msgs)

Evolution of RUB-payments in Russia 5 Evolution of number of messages sent by the top 4 banks per month Evolution of number of messages received by the top 4 banks per month

6 Agenda Some statistics Rouble Settlements via correspondent banking The Russian RTGS and SWIFT

Payments Market Practice Group “RUR-6 guidelines” have been worked out on how to use the ISO-Standards to do Rouble Payments Includes – amongst others – the MT 101, 103, 202, category 9 messages and n92, n95 & n96 messages Includes transliteration table (updated in April 2011) Currently version 6 Available on 7

Issue(s) with RUR-6. They are not mandatory. Not all banks are using latest version, so banks have to support different versions, depending on their counterparts. 8

9 How to simply create & distribute standards-related documentation? Not everything in a new standards release is relevant to my business. How can I easily analyse the impact of a standards release or updated market practice on ALL my systems across all departments? Information I need is scattered between base standards, market practices, MI specifications and bilateral agreements. It is not evident to move my community to new market practices or new standards. Market practice definitions require a lot of reading. The total cost for standards (maintenance and new solutions) is very high. Standards-related issues in your institution and your community Creating and discussing our market practices and comparing them to other ones is a lot of work.

MyStandards: New standards management tools for the community Manage your own standards implementation and practice Share this information with your correspondents Get updates automatically and focus on what is relevant to you Content is basis for interoperability services and harmonization 10

MyStandards: High level components 11 Collaboration environment Market practice editor On-line browsing Machine-readable formats Analytical tools Market practices Dedicated Documentation Base standards Leverage the community Make it easy to define practice / capabilities Simplify understanding

12 Agenda Some statistics Rouble Settlements via correspondent banking The Russian RTGS and SWIFT

13 Message Flow Russian RTGS CB of Russia Payments Application Converter CB of Russia – ISO Formats and vice versa SWIFT Backbone Network CB of Russia VPN CB of Russia VPN Live since 19 August 2011

Current status Closed User Group (CUG) was created for the Russian RTGS over SWIFT V-shape is used LIVE since 19 August November a joint workshop on how to use SWIFT for the BESP system (Central Bank of Russia and SWIFT) 14

15 Thank you