News
D Bank Has Joined Target2
05.02.2010
As of February 2010 D Bank, together with fifteen more local banks, BNB (the Central Bank) and the auxiliary system BISERA7-EUR in this country, has joined Target2 - the Trans-European Automated Real-time Gross settlement Express Transfer system for customer euro transfers up to € 50 000.
By joining TARGET2, which includes 23 EU member-states, with six of them outside the euro area, a substantial step is undertaken towards Bulgaria’s integration to the European financial markets and payment infrastructures.
From an economic prospective Target2 shall have a positive impact on banks, but it is end users of bank facilities that shall benefit first and foremost, i.e. individual and corporate clients, who shall be able to effect very quick and reliable transfers to the EU countries.
This system shall provide equal price terms either for small or large amounts, as “harmonized” by the ECB, while fees cannot be amended by the central bank of the respective country.
Efficient settlement mechanisms, up-to-date technical infrastructure, functionality and organization are among the benefits of Target2. The latter provides the opportunity euro liquidity monitoring and management, to obtain cost efficiency and high quality services rendered. All these factors enhance the transfer process and reduce the time (usually less than a minute), and provide stability for the end consumer. Even small value payment systems shall enhance the competitiveness and shall increase the scope of client’s activities, providing facilities in EUR, which shall meet the requirements of the banks and their customers.
Joining Target2 as of 1 February 2010 will contribute for gaining experience in dealing with European payment facilities and systems and will lay the groundwork for future introduction of the EUR in this country.
By joining TARGET2, which includes 23 EU member-states, with six of them outside the euro area, a substantial step is undertaken towards Bulgaria’s integration to the European financial markets and payment infrastructures.
From an economic prospective Target2 shall have a positive impact on banks, but it is end users of bank facilities that shall benefit first and foremost, i.e. individual and corporate clients, who shall be able to effect very quick and reliable transfers to the EU countries.
This system shall provide equal price terms either for small or large amounts, as “harmonized” by the ECB, while fees cannot be amended by the central bank of the respective country.
Efficient settlement mechanisms, up-to-date technical infrastructure, functionality and organization are among the benefits of Target2. The latter provides the opportunity euro liquidity monitoring and management, to obtain cost efficiency and high quality services rendered. All these factors enhance the transfer process and reduce the time (usually less than a minute), and provide stability for the end consumer. Even small value payment systems shall enhance the competitiveness and shall increase the scope of client’s activities, providing facilities in EUR, which shall meet the requirements of the banks and their customers.
Joining Target2 as of 1 February 2010 will contribute for gaining experience in dealing with European payment facilities and systems and will lay the groundwork for future introduction of the EUR in this country.
