Citi, Emirates NBD to launch round-the-clock USD cross-border payments

Citi and Emirates NBD have joined forces to introduce Citi’s 24/7 US dollar clearing service in the Middle East.

This initiative marks Emirates NBD as the first bank in the region to provide continuous cross-border US dollar payments, available 24 hours a day, 7 days a week, 365 days a year, across its branch network.

The service, initially available in Emirates NBD’s branches in the UAE and Saudi Arabia, aims to eliminate payment flow barriers caused by different weekend schedules and early afternoon cut-off times for transactions in the UAE.

The bank plans to extend this service across its entire Middle East branch network and globally, including collaborations with third-party institutions.

Shahmir Khaliq, head of Services at Citi, stated, “Consumers demand instant payment capabilities no matter where they are in the world. Our collaboration with Emirates NBD is a crucial step in our journey to create a multibank solution designed to deliver an end-to-end, ‘always on’ experience for participant banks and their customers.

“Our 24/7 USD clearing service is a clear differentiator in the market, demonstrating the full value of our globally leading cross-border payments and clearing capabilities.”

Emirates NBD to leverage Citi’s strengths

Emirates NBD will fully leverage Citi’s 24/7 US dollar clearing capabilities, encompassing commercial and treasury payments execution.

Ahmed Al Qassim, group head of Wholesale Banking at Emirates NBD, commented, “Our collaboration with Citi to bring 24/7 US dollar clearing to the region reflects our commitment to facilitating the payment needs of our clients in key trade corridors.

“The introduction of 24/7 US dollar clearing service will support the growth ambitions of our clients by allowing them to seamlessly transfer funds promptly, free from concerns about cutoffs and holidays.”

Citi’s technology and network are critical components, enabling Emirates NBD to offer continuous US-dollar services between its branches. This service allows financial institutions to make US dollar payments across Citi’s network of 1,500 financial institution customers globally, regardless of holidays in the US.

Since 2022, Citi has over 130 financial institution clients utilising its 24/7 US dollar clearing service.

In recent news, the Central Bank of the UAE (CBUAE) launched the minimum viable product of the mBridge project, the world’s first multi-central bank digital currency (CBDC) platform for cross-border payments and settlement.

The platform, developed in collaboration with the Bank for International Settlements Innovation Hub Hong Kong Centre, the Hong Kong Monetary Authority, the Bank of Thailand, and the Digital Currency Institute of the People’s Bank of China, represents a significant step forward in streamlining international financial transactions.

Saudi Arabia also joined China and the UAE in a multi-country central bank digital currency (CBDC) initiative, as part of the kingdom’s broader strategy to modernise payments with new functionality and provide an alternative to physical cash.