Finastra secures SWIFT Compatible Application label for trade finance

Financial software company Finastra has secured a SWIFT Compatible Application label for trade finance for 2021.

Fusion Trade Innovation, Finastra’s global trade and supply chain booking engine and processing solution, has met industry standards set by SWIFT, a global provider of secure financial messaging services. Finastra’s Fusion Trade Innovation supported customers through the first wave of SWIFT changes in 2018.

Finastra’s solution is ready to support customers ahead of the SWIFT SR2021 go-live in November 2021, which is set to bring changes to trade finance messaging standards, including those relating to guarantees and standby letters of credit.

The ‘Category 7 Guarantees’ and ‘Standby Letters of Credit’ messages will be introduced as part of the SWIFT SR2021 changes, requiring banks and financial institutions to review existing business and operational processes for multiple trade finance products, including the introduction of the new Undertakings functionality.

Anastasia McAlpine, head of product for trade and supply chain finance at Finastra, said: “SWIFT SR2021 completes the cycle of the most significant set of changes to the trade finance messaging interface in nearly 30 years, with the updated message structures and the introduction of new message types. We are delighted to have secured this SWIFT Compatible Application label as it demonstrates Fusion Trade Innovation’s strong capabilities to align with the extensive and complex SWIFT standards. It is also testament to the solution’s ability to support customers as the industry evolves.”