Volante Technologies, a global cloud payments and financial messaging company, has announced the launch of its Volante ISO 20022 Service.

The service aims to simplify the complexity of ISO 20022 modernisation for organisations involved in the processing of payment messages, including banks, fintechs, financial institutions, and payment service providers (PSPs).

Such organisations face significant headwinds in achieving ISO 20022 message compliance, whether for domestic clearing and settlement (e.g. TARGET2, CHAPS, and Fedwire) or for cross-border payments (SWIFT CBPR).

Many still rely on legacy systems that cannot be updated to ISO 20022, or require major upgrades to accommodate the new standard and its extended data capabilities.

According to new data from Celent, a financial services research and advisory firm, by 2025, 87% of global high-value clearings will be ISO 20022.

Gareth Lodge, senior analyst at Celent, said: “This poses acute difficulties for larger financial institutions who operate in multiple countries and regions, and must balance a constantly shifting landscape of market infrastructure deadlines with limited IT resources and budgets. 

“Even without legacy constraints, de novo [newly chartered] banks and PSPs also face challenges, as they must find ways to differentiate from their established competitors by going beyond compliance to deliver value from ISO 20022.”

ISO 20022 ambitions

The Volante ISO 20022 Service aims to enable financial services developers and architects to address these challenges by incorporating value-added ISO 20022 modernisation capabilities into their applications.

The service, built-on Volante’s low-code technology, contains microservices-based APIs for initiation, transformation, and translation of ISO 20022 messages to and from legacy formats.

The APIs can be deployed in an organisation’s data centre or private cloud, or consumed as a service in Volante’s secure cloud. 

For all deployment models, Volante offers a free cloud sandbox enabling customers to test the catalogue of ready-to-consume APIs before using them in production applications, facilitating seamless upgrades as standards evolve.

Nihit Ahuja, global business head of platforms at Volante Technologies, said: “At Volante, we are proud of our 20+ year history of delivering financial messaging standards-based, low-code services for application developers.

“We also have extensive experience working on ISO 20022 modernisation programs with leading financial institutions.

“We are delighted to be making this expertise available to developers everywhere in the form of easily consumable APIs through our ISO 20022 service, on or off the cloud.”

Benefits of Volante ISO 20022 Service

In a press statement, Volante said that organisations that adopt the Volante ISO 20022 Service for their compliance and migration programmes will enjoy a wide range of benefits. 

For example, they will be able to extend the life of their legacy systems, protecting their businesses from change and disruption.

They will also be able to quickly build value-added services based on the extended/rich data features of the standard, and accelerate time to market for such services by eliminating hand coding.

Other benefits, according to Volante, include improved performance for end-to-end processing, higher straight-through processing (STP), and cost reductions of 60% or more compared to traditional ISO modernisation approaches.

Organisations can learn more about the Volante ISO 20022 Service or create a free account to use the API Sandbox.