1. Slide 1 David Dobbing SWIFTStandards UN/CEFACT Plenary Geneva, 16 - 17 September 2008 SWIFT, ISO 20022 and UN/CEFACT

2. Slide 2 What is SWIFT? A co-operative organisation serving the financial industry A provider of highly secure financial messaging services A standardisation body for the financial industry

3. Slide 3 SWIFT business dimensions Established in 1973 by 239 banks in 15 countries Developed shared messaging platform for financial transactions Emphasis on security, reliability and availability Heritage Serving 8,300 financial institutions across 208 countries Payments, Securities, Foreign Exchange, Treasury and Trade Reducing costs, improving automation, managing risk Understanding Industry-owned community Overseen by regulatory authorities Impartial to the data transacted across the messaging platform Neutrality Store and forward, file transfer, interactive query & response Open standards IP over fibre-optic backbone Technology

4. Slide 4 3.5 billion messages per year 8,332 customers 208 countries Average daily traffic 13.9 million messages Peak day of 16 million messages 28 September 07 SWIFT figures (December 2007)

5. Slide 5 Debtor’s Financial Institution Payments and Cash Management Market Debtor Creditor Cash management Direct debits MT 1xx, 2xx MT 9xx Exceptions & Investigations Credit transfers MT 9xxMT 101 Exceptions & Investigations Cash management Payment initiation (CT + DD) MT 9xx Exceptions & Investigations Cash management Creditor’s Financial Institution MT-basedMX-based

6. Slide 6 Seller’s bank Buyer’s bank Guarantees / Standby LCs MT 76x Collections MT 4xx Letters of credit MT7xx TSU messages MT-basedMX-based Trade & Supply Chain Market TSU Trade Services Utility

7. Slide 7 Trade Services Utility (1) Purchase Order Data Data Matching Financing with or without recourse (2) Invoice, Transport, Insurance, Certificate Data Buyer Seller TSU Financing with or without recourse Centralised Workflow & Matching Engine Seller’s BankBuyer’s Bank

8. Slide 8 Objective To enable communication interoperability between financial institutions, their market infrastructures and their end-user communities Challenge Numerous overlapping standardisation initiatives looking at XML financial messages: MDDL, FIX, FinXML, VRXML, RIXML, XBRL, FpML, IFX, TWIST, SWIFT, RosettaNet, OAGi, ACORD, CIDX, etc. UNIFI (UNIversal Financial Industry message scheme) ISO 20022

9. Slide 9 ISO 20022 – Components  Modelling-based standards development  Syntax-specific design rules for XML  Reverse engineering approach - Syntax-independent business standard - Validated by the industry - Predictable and ‘automatable’ - Protect standard from technology evolution - Protect industry investment and ease interoperability - Prepare for future migration  Development / registration process  Repository on the ISO 20022 website - Clearly identified activities and roles - Business experts and future users involved upfront - Business Process Catalogue & Data Dictionary - Outside of official standard (maintained by registration bodies)

10. Slide 10 Seller Buyer Buyer’s Bank Seller’s Bank Goal is one of convergence of the standards developed by the two de jure standards bodies, on the commercial side UN/CEFACT, and on the financial side ISO 20022 ISO 20022 (UNIFI) Financial UN/CEFACT Administration, Commerce & Transport e-Invoice Remittance Advice Request for Finance etc ISO 20022 and UN/CEFACT

11. Slide 11 ISO 20022 and UN/CEFACT Cooperation  2004: –TC68, TBG5 and SWIFT sign a cooperation agreement to investigate alignment in line with the objectives of the ‘MoU on e-Business’ –A workplan is agreed between the signatories  2005: –Recommendation for alignment of methodologies –Trial submission from UNIFI to UN/CEFACT  2006: –WG4 takes over technological alignment  2007: –First official submission from UNIFI to UN/CEFACT –Project submission from UN/CEFACT to UNIFI  2008: –Customer-to-bank payment components harmonised and accepted in UN/CEFACT Core Component Library

12. Slide 12 ISO 20022 and UN/CEFACT Convergence Common Business Processes Business Process Catalogue UN/CEFACT Registry/ Repository www.iso20022.org UNIFI Financial Repository UNIFI Registration Management Group UN / CEFACT (All Sectors) UNIFI Registration Authority Business Requests Message Models UNIFI Standards Evaluation Groups Securities Payments Trade Services Forex TBG17 Harmonisation TBG5 Finance Core Components Data Dictionary www.unece.org/cefact/ ISTH Omgeo CLS SWIFT Euroclear ISITC ACBI UNIFI Users