The "Buna" platform launches the Peer-to-Peer (PvP) foreign exchange payment service in collaboration with participating banks for secure settlement of foreign currencies (FX)
The service was launched in collaboration with Abu Dhabi Commercial Bank and Jordan Ahli Bank as the first users.
The adoption of the Peer-to-Peer (PvP) payment mechanism in foreign exchange transactions contributes to global efforts led by the G20 to enhance cross-border payments.
Abu Dhabi, November 6, 2023: The “Buna” payment platform (operated by the Regional Payment and Settlement System owned by the Arab Monetary Fund) announced the launch of the Peer-to-Peer (PvP) foreign exchange payment service in collaboration with Abu Dhabi Commercial Bank and Jordan Ahli Bank as the first users of this mechanism that provides secure settlement of foreign currencies (FX).
The “Buna” platform’s PvP payment mechanism ensures settlement in one currency simultaneously with the execution of the corresponding settlement in the other currency at the same moment, making it an efficient and secure mechanism for conducting foreign exchange transactions, aligning with the core recommendations of the G20 to enhance cross-border payments.
The service also provides a modern platform for executing the settlement of foreign exchange transactions in different currencies among participating banks. Users of the “Buna” platform will benefit from a modern set of application programming interfaces (APIs) to exchange information and agree directly on the terms and details of their foreign exchange transactions, without the intervention of the “Buna” platform or any other intermediary in these deals. The “Buna” platform offers this service in the six available currencies on the platform: UAE Dirham (AED), Egyptian Pound (EGP), Saudi Riyal (SAR), Jordanian Dinar (JOD), US Dollar (USD), and Euro (EUR).
On this occasion, Mr. Mehdi Mannaa, CEO of the Arab Regional Payment and Settlement System, stated, “We are pleased to witness the successful implementation of the PvP settlement service for foreign exchange transactions on the ‘Buna’ platform. The combination of providing a platform for participating banks in different currencies and a secure settlement mechanism in one system is expected to be effective in enhancing cross-border payments, providing a safe and more efficient experience for participants in the ‘Buna’ platform. “With this achievement, ‘Bun’ continues its leadership in innovation and strengthening economic relations between countries. I would like to thank both Abu Dhabi Commercial Bank and Jordan Ahli Bank for their leading role in this context.”
Mr. Rami Daana, Chief Operations and Support Officer at Jordan Ahli Bank, praised this achievement, saying: “Jordan is at the forefront of countries that have launched innovative payment services, and at Jordan Ahli Bank, we lead these efforts in collaboration with the ‘Buna’ platform. We are pleased to contribute to achieving this milestone by creating new options to provide the Jordanian Dinar to banks participating in the platform, as it is a major Arab currency for cross-border payments. I look forward to expanding our business opportunities through collaboration with other banks participating in the ‘Buna’ platform.”
On his part, Mr. Mohammed Al-Jayyash, Senior Banking Operations Officer at Abu Dhabi Commercial Bank, said: “Partnerships that add more sustainable value are an essential part of Abu Dhabi Commercial Bank’s approach to excellence in customer service. We continue our efforts to invest significantly in digital platforms to ensure the provision of distinguished and innovative services to our valued customers in line with the digital strategy of the bank. This collaboration with ‘Buna’ is an effective contribution to the field of secure and efficient payments regionally and globally alike. By adopting the PvP payment mechanism to settle foreign exchange transactions, we seek to consolidate our leading role in the field of innovative payment services.”
