Overview
A Canadian bank with significant cross-border operations required enhanced control over liquidity management across multiple currencies and correspondent banking relationships.
Challenge
The bank managed payments and liquidity across numerous currencies and correspondent banks, relying on manual processes to monitor positions and funding requirements. This created operational inefficiencies and increased the risk of payment delays, idle balances, and regulatory non-compliance. The bank required greater agility to control payments and optimise liquidity usage across its global operations.
Solution
The bank implemented Smart Liquidity, deploying the Cash Management System (CMS), Intraday Liquidity Management (IDLM), and Payment Flow Control (PFC) modules.
CMS provided real-time visibility of global cash positions, enabling treasury teams to make more informed funding decisions.
IDLM delivered proactive monitoring of intraday liquidity exposures across nostro and vostro accounts, supporting BCBS 248 regulatory reporting requirements.
PFC enabled dynamic payment control based on real-time liquidity positions and defined operational parameters, reducing settlement risk and optimising the use of available credit lines.
Benefits
The integrated platform enabled holistic intraday liquidity management across currencies and correspondent accounts. The bank improved payment efficiency, strengthened regulatory compliance, and reduced operational risk while optimising funding costs and liquidity utilisation.
