New system to ease interbank fund transfer |21 August 2013

Local interbank fund transfer service is expected to be more efficient following the launch of the Seychelles Electronic Funds Transfer (Seft) system.

The Central Bank of Seychelles (CBS) in collaboration with Progress Soft Corporation, commercial banks and the Seychelles Credit Union yesterday officially launched the Seft system which will ease local interbank fund transfer service.

Speaking at the launch at the CBS yesterday, CBS’ head of division – banking services Mike Tirant said the system started functioning on August 19, 2013.

“The new system provides a common platform for banks’ clients to conduct their transfers in an efficient manner and is in line with the CBS strategy to reform and modernise the payment system,” said Mr Tirant.

“The Seft system will help minimise the physical exchange of cash and reduce the cost of local fund transfers which are currently handled primarily through the Society for Worldwide Interbank Financial Telecommunication (Swift) international global platform. The Seft system is, however, an additional platform to effect local transfers and at this stage will not fully replace the Swift system for local transactions,” he added.

The system will also enable timely processing of transactions, ease bulk transaction uploads for corporate clients; provide email and SMS notifications and allow clients to view current and past transactions.

A new funds’ transfer application form will be made available at every bank to allow customers to request for a funds transfer using the Seft system.

The system also has room for continued enhancement since the banking industry will be able to fully integrate Seft with their Core Banking Systems and internet banking platforms to further shorten and improve the payment cycles, thus reducing delays and providing real time credits and debits to customers’ accounts in the future.

In a press communiqué, CBS governor Caroline Abel said the Seft system – being a reliable and efficient payment system platform – is an important step towards ensuring the continued stability of the financial system.

ProgressSoft Corporation chief executive Michael Wakiley said Seft will change the payment portfolio in Seychelles and thanked all partners who have been involved in its development.

“We are delighted to launch another real-time payment solution in Seychelles, the Seychelles Electronic Funds Transfer from ProgressSoft. With the electronic cheque clearance in place and the launch of Seft, ProgressSoft is determined that this shall be but another milestone towards a complete real-time payment and settlement portfolio in Seychelles. I would like to thank all international parties who assessed the system to endorse its readiness. I must thank all the teams who were involved from the Central Bank of Seychelles, those involved in the system and the ProgressSoft team, for making the launch of this project possible,” Mr Wakileh said.

Following yesterday’s launch, the system will be accessible only to banks and their operations’ staff in the respective payment departments. This will enable them to familiarise themselves with this new platform and fully adopt the new processes before the second phase of the project is implemented early next year.

The second phase will feature the integration and deployment of an online internet-based platform that will allow registered customers and corporate clients to have access to the same system in the comfort of their homes and businesses.