Banco Central de Chile implements Logica's multi-currency RTGS solution

Logica, a leading IT and business services company, today announced that the Central Bank of Chile has successfully deployed a multi-currency real-time gross settlement (RTGS) solution, based on Logica’s Central Accounting System (CAS). With this implementation, Banco Central de Chile is now able to settle payments between participant banks and companies in foreign currencies, as well as in the Chilean Peso. Additionally, it is able to settle payments between both SWIFT and non-SWIFT participants, making the central bank one of few globally to have such capabilities.

Banco Central de Chile first implemented Logica’s RTGS system in 2004 to settle payments in Chilean Pesos. Installed at the central bank’s headquarters in Santiago, this formed the cornerstone of the country’s banking infrastructure for five years. Based on the central bank’s requirement to automate the settlement of foreign currency payments, it sought to upgrade its existing RTGS infrastructure. With this upgrade, the Chilean central bank also required a solution that would automate the multilateral net settlement of the results of other payments systems. After an extensive and rigorous selection process, Banco Central de Chile opted to upgrade its Logica CAS solution.

“Having worked with the Banco Central de Chile for several years, we are pleased to have extended this relationship and to have played a part in such an important project,” said Tim Brew, market development director at Logica. “The central bank’s foresight in recognising a growing requirement for multi-currency RTGS is proof of the crucial role it plays in facilitating the functioning of the Chilean economy.”

Following extensive testing, Banco Central de Chile’s upgrade of CAS went live in August of this year, making it the third central bank to have implemented Logica’s multi-currency RTGS solution.

Brew continued: “We have invested in our solution to ensure it meets the evolving needs of central banks today. In the near future, we expect more central banks to upgrade their infrastructure to support multi-currency payments settlement as a direct result of globalisation.”

Logica’s CAS solution is one of the most commonly used RTGS systems on the market today – running in 14 countries.