SIBOS 2011: SWIFT to Cut Message Rates Another 16%
September 19, 2011
TORONTO, Can. -- The chairman of the Society for Worldwide Interbank Financial Telecommunication said prices will be cut another 16 percent on messages transmitted over its financial information network.
The 16 percent cut is on top of the average 20 percent cut that SWIFT announced last September and instituted on January 1 of this year, said Yawar Shah, Chairman of the SWIFT Board and Managing Director, Citigroup, in a speech at the opening plenary session of the SIBOS operations conference.
This will represent a 120 million euro giveback to the SWIFT community, between the two rate cuts, Shah said.
The January 1 cut represented a 70 million euro return to SWIFT’s customers. Which, by subtraction, means the latest cut means another 50 million euros back to its messaging customers.
That, Shah said, was on a base of 600 million euros being paid for its messaging services.
The cutback was approved by SWIFT’s board on Sunday, Shah indicated.
The price cut announced a year ago was the largest since 1995.
Shah did not discuss details of the planned cut. In the last round, the cuts applied to all types of message.
