Ripple, Saudi central bank ink deal
Blockchain firm to enable kingdom’s banks to use its cross border payments technology
head of infrastructure innovation at Ripple, said in a statement yesterday.
“SAMA is leading the charge as the first central bank to provide resources to domestic banks that want to enable instant payments using Ripple’s innovative blockchain solution,” Rao added.
Both Ripple and the Saudi central bank have created a programme to provide support to Saudi banks to use xCurrent, Ripple’s enterprise software solution that enables banks to instantly settle cross-border payments with end-to-end tracking, Ripple said in a statement posted on its website. It added that SAMA will support Saudi banks with programme management and training.
“Ripple could also provide real-time messaging, clearing and settlement of financial transactions for global banking and payment partners. This partnership could enhance efficiency, enhance data security and minimise cost involved in data storage,” said Y. Sudhir Kumar Shetty, president of UAE Exchange, which also has partnered with Ripple for a similar arrangement.
In December last year, the UAE Central Bank said it was undertaking a joint project with its Saudi counterpart to use blockchain technology in order to issue a digital currency accepted in cross-border transactions between the two countries.
“This is probably the first time ever that witnesses the cooperation of monetary authorities from different countries on this topic, and we hope that this achievement will foster similar collaboration in our region,” UAE Central Bank governor Mubarak Rashed Al Mansouri said in December last year.