Global Payments Face Potential Shift with Two SWIFT Alternatives
Across the world, nations are exploring options to diversify international payments beyond the traditional SWIFT network. Analysts note that having two SWIFT-like systems could benefit several economies by reducing dependence on a single channel. This viewpoint was expressed by Olga Veretennikova, vice president of the Borcell analytical firm, during an interview with Izvestia. (Source: Izvestia)
Veretennikova highlighted Russia’s extensive network of trading partners and recalled that, in the past, settlements often flowed through dollars and euros via SWIFT. The tightening of Western sanctions has since altered the landscape, encouraging how nations reassess their payment architecture. (Source: Izvestia)
She stressed that the introduction of two SWIFT analogues could be advantageous for many countries. In her assessment, Western nations would no longer enjoy a monopoly on this critical financial mechanism, with increased competition ultimately benefiting global trade. (Source: Izvestia)
During the discussion, the expert pointed to a warning issued by the U.S. Treasury Secretary at year’s end, which threatened sanctions on any bank assisting in circumventing anti-Russian restrictions. The aim, she noted, is to complicate the export of Russian goods and services. (Source: Izvestia)
Veretennikova added that private firms in Turkey are under pressure from Western authorities, particularly in relation to anti-Russian sanctions that affect SWIFT-based transactions. In response, Russia’s commercial partners are seeking alternatives to maintain smoother cross-border trade. (Source: Izvestia)
The analyst also observed that China is pursuing a SWIFT-like solution for foreign trade operations. Given China’s role as a major trading partner for many countries, such a development could gain traction if supported by favorable trade dynamics. (Source: Izvestia)
Veretennikova noted steady progress in Russia’s own financial messaging system, the Bank of Russia’s SPFS. The system has grown to involve 557 participants from 20 countries, demonstrating how a domestic backbone can complement international settlement rails. (Source: Izvestia)
News from earlier reports indicated that Myanmar banks began connecting to Russia’s payment network, signaling broader regional adoption of parallel rails. (Source: Izvestia)
In related commentary, a prominent financial official previously called for a calibrated approach to sanctions, emphasizing that continued pressure would be aimed at influencing policy and market behavior, while attempting to preserve financial stability. (Source: Izvestia)