riks, RIX-INST, commercial paper

Flodén: Safer payments with RIX payments system open 24/365

The Riksbank needs to supplement its RIX payment system with a system that is open 24/365 and can rapidly settle large numbers of payments in central bank money. In this way we can continue to offer a safe and cost-efficient infrastructure as technology develops and the payment market changes. This was the content of a speech given by Deputy Governor Martin Flodén today at the Riksbank.

We Swedes are not using cash to make payments very much now, we prefer to use cards and Swish. But we want our payments to be made quickly and smoothly, at any time and to be settled safely. “This means that the Riksbank needs to modernise the services offered in RIX so that central bank money remains the norm when settling payments,” said Mr Flodén. “Today payments by Swish are settled outside of RIX, in commercial bank money, which means that problems may arise if there are a large number of transactions covering large amounts,” he pointed out.


Mr Flodén says that the best solution is to supplement RIX with the same technical platform as the European Central Bank (ECB) and the Eurosystem use – TIPS (Target Instant Payment Settlement). We can then benefit from economies of scale and reduce transaction costs for Swedish households and companies. Using an international standard for instant payment can also increase competition and the quality of the payment services offered to Swedish customers.

“The indications are that the Riksbank will find it more difficult to carry out its task of promoting a safe and efficient payment system in the future if we don’t raise our level of ambition regarding the services now offered to RIX participants. I believe that both financial stability and competition on the payment market would benefit from the Riksbank supplying a payment system that is available 24/365,” concluded Mr Flodén.