ACI Worldwide - Innovation in Technology Development

Company: ACI Worldwide, Singapore

Category: Award for the Innovation in Technology Development > Financial Services Industries

Nomination Title: ACI Worldwide and PayNet Malaysia: Rapid Real-Time Payments Growth

Essay:

"ACI’s real-time payments solution allows for an enterprise-wide approach to real-time: it provides the necessary connections to domestic and global immediate payments gateways, as well as RTGS, SWIFT and ACH modules, in a single, universal solution. It offers improved visibility and management of liquidity, which minimizes cost and risk thanks to an intelligent routing of transactions.

Features at a glance:

• Major types of real-time payments offered in a single, universal solution
• Immediate payments gateways to all major schemes
• Domestic and cross-border payments support, including SWIFT gpi
• Intelligent routing of transactions depending on policy and opportunity
• Powerful tools to accelerate integration and onboarding of new customers, products and services
• Cloud delivery capabilities
• Modern, cost-effective and scalable technology running on Linux
• Service packs delivering additional services such as business intelligence, liquidity management and exceptions, real-time balance and case handling
• Pre-integrated value add-on modules, such as risk management and payments initiation

The following development project with PayNet Malaysia demonstrates the scope of real-time payment capabilities that ACI’s APAC team can offer and the differentiators of the solution – in particular as a solution for central infrastructures.

**PayNet Malaysia: Rapid Real-Time Growth in a Growth Market**

The Customer:

PayNet is Malaysia's premier payments network and central infrastructure for financial markets. PayNet builds and operates world-class payment systems and financial market infrastructures that safely, reliably and efficiently enable the functioning and development of Malaysia's financial system as well as the wider economy. With Bank Negara Malaysia as PayNet's single largest shareholder and eleven major financial institutions as joint shareholders, PayNet also serves as a platform to harness the collaborative efforts of the Malaysian banking system to accelerate the adoption of electronic payments.

Project, Implementation and Results:

ACI’s PayNet program began with PayNet announcing it would build Malaysia’s Real-time Retail Payments Platform (RPP) using ACI’s UP Real-Time Payments solution. The announcement was preceded by a Malaysian Central Bank directive to PayNet to modernize Malaysia’s retail payments infrastructure, drive innovation in electronics payments and bring the benefits of immediate payments to all participants in the payments ecosystem, including banks, payment institutions, businesses, consumers and the government. ACI delivered to PayNet a Universal Payments Framework-backed central infrastructure (or RPP hub), central infrastructure connectors and central infrastructure gateways. These deliveries allow for PayNet’s participating banks to connect to the platform, and 20 connectors and gateways went live in December 2018.

In January 2019, PayNet announced the first service offered to the public under the platform: DuitNow, an instant credit transfer with a national addressing database that links mobile numbers and national ID numbers to account numbers. Following the launch of DuitNow, PayNet and ACI are now focused on the progressive introduction of new payments services, including QR Payments as well as Request to Pay, e-mandates and real-time debit, which are expected to transform how businesses collect payments in Malaysia.

Cross-border payments are also in the program team’s sights.

“PayNet’s vision goes beyond just Malaysia. We aim to build links across the ASEAN region to enable cross-border instant credits and P2P payments, with an initial focus on neighboring countries. ACI’s UP Real-Time Payments provides the flexibility and scalability that PayNet needs to continue making material steps towards greater ASEAN payments integration – streamlining both business and personal financial flows across the region.” – Peter Schiesser, Group CEO, PayNet

ACI’s UP Real-Time Payments solution – Global Footprint

ACI has customers using UP Real-Time Payments Solution to access Singapore FAST and the Australian NPP (New Payments Platform). ACI is implementing The Clearing House RTP system and Zelle for customers in the United States, and SEPA Inst schemes for customers in Europe. Currently, more than 50 percent of UK Faster Payments scheme’s payments are being processed by ACI solutions."

Links:

https://www.paynet.my/news-coverage/2017/paynet-picks-aci-for-countrys-realtime-retail-payments/
https://www.thestar.com.my/business/business-news/2017/11/13/paynet-picks-aci-for-countrys-realtime-retail-payments
https://www.thestar.com.my/business/business-news/2019/01/18/paynet-launches-real-time-retail-payment-platform
https://www.marketwatch.com/press-release/aci-worldwide-earns-frost-sullivans-2019-global-product-leadership-award-for-real-time-payments-2019-02-27
https://www.aciworldwide.com/news-and-events/press-releases/2019/july/aci-worldwide-receives-top-honors-at-paytech-awards-2019-for-real-time-payments-capabilities
https://www.aciworldwide.com/news-and-events/press-releases/2019/february/aci-worldwide-honored-at-meftech-innovation-awards-for-swift-gpi-initiatives
https://www.aciworldwide.com/insights/expert-view/2019/february/putting-malaysia-on-the-path-to-payments-innovation
https://vimeo.com/346953709
https://www.aciworldwide.com/solutions/up-real-time-payments