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The launch of Canada's Real-Time Rail (RTR) payments system has been pushed back from the middle of next year to an as yet undetermined date.
In a delivery roadmap update, Payments Canada, which is leading the project, says an extension will "provide additional time to validate and test the components and end-to-end integration of the RTR system".
Part of a multi-year, multi-system payments modernisation initiative, RTR will allow Canadians to initiate payments and receive irrevocable funds in seconds, 24/7/365. The system will also tap the ISO 20022 messaging standard to support payment information traveling with every payment.
Payments Canada is working with several vendors on the project, with Mastercard-owned Vocalink building the RTR clearing and settlement infrastructure, local debit network Interac acting as the exchange solution provider, and TCS onboard as integration lead.
On the delay, Payments Canada CEO Tracey Black says: "We recognise that there will be impacts for the payment ecosystem in Canada."
Adds Black: "We are working closely with these groups [stakeholders] to replan and confirm a revised launch date, which we will share publicly once confirmed."
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clearly the Canadian banks are in no hurry for real-time payments otherwise they would be pushing hard for this project to be delivered. The opposite seems to be the case, I wonder why?
Banks have not rushed to implement A2A RTP systems anywhere in the world.
Let me quote from the post entitled Banks Have Not Lost The UPI Plot on my company blog:
QUOTE
By transferring money instantly from payor’s account to payee’s account, Account-to-Account Real Time Payments like UPI eliminate float.
Since float is a key source of revenues for banks, you won’t find banks rushing headlong into A2A RTP systems anywhere in the world.
Where national A2A RTPs exist – that’s around 40 countries – they came about as a result of regulatory diktat.
India is no exception. The Indian regulator was easily able to achieve forced distribution of UPI among banks since 70% of the banking industry is owned by the government.
ENDQUOTE
I’m guessing Canada is no exception, either.
@Ketharaman,
Do you have a list of the 40 countries where A2A RTP is currently operational? Thank you.
Arshad
@ArshadNoor: Yep. NCR.
What is NCR, @Ketharaman? The company? Or, some particular agency or site? Thanks.
LOL ICYMI it’s a clickable link to a page on the website of NCR the company that provides a list of countries where A2A RTP is operational.
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