The Bank of Thailand, alongside the Bank of England and the Monetary Authority of Singapore, announced a collaboration to explore the technical and policy implications of settling foreign exchange transactions using synchronised settlement mechanisms. The work aims to assess whether synchronisation can enable atomic, real-time FX transactions and support Payment versus Payment settlement across jurisdictions. The participating central banks will run experiments, building on insights from Project Meridian FX1, using simulated versions of their Real Time Gross Settlement systems and Distributed Ledger Technology-based settlement environments. Testing will focus on interoperability between the central banks’ systems and on complex, multilateral use cases that span different settlement infrastructures, time zones and regulatory frameworks, with the Bank of Thailand also highlighting potential relevance for cross-border Delivery versus Payment use cases and for informing its wholesale settlement infrastructure development.
Bank of Thailand 2025-11-13
Bank of Thailand partners with Bank of England and Monetary Authority of Singapore to test synchronised FX settlement for cross-border PvP
The Bank of Thailand, Bank of England, and Monetary Authority of Singapore are collaborating to explore synchronised settlement mechanisms for foreign exchange transactions. The initiative will assess the feasibility of atomic, real-time FX transactions and Payment versus Payment settlement across jurisdictions. Experiments will use simulated Real Time Gross Settlement systems and Distributed Ledger Technology to test interoperability and multilateral use cases.