Banks go live with the Buna’s Payment versus Payment (PvP) Service, providing safer settlement of foreign exchange (FX)
The service is now operational in collaboration with Abu Dhabi Commercial Bank and Jordan Ahli Bank as the first users.
Adopting PvP as FX settlement mechanism contributes to the global effort led by the Group of Twenty (G20) to enhance cross-border payments.
Abu Dhabi, November 6th, 2023: Buna, the cross-border payment system operated by Arab Regional Payments Clearing and Settlement Organization “ARPCSO”, which is owned by the Arab Monetary Fund, announced Abu Dhabi Commercial Bank (ADCB) and Jordan Ahli Bank (ahli) as the first users of its Payment versus Payment (PvP) service, which supports safer settlement for foreign exchange (FX) trades.
Buna’s PvP mechanism ensures that settlement in one currency occurs if and only if the settlement of the other currency occurs simultaneously, resulting in a more efficient and secure way of conducting settlement of foreign exchange transactions, in line with one of the building blocks of the G20 roadmap to enhance cross-border payments.