Swift Standard Changes

SWIFT 2021 STANDARD CHANGES – STANDARDS RELEASE GUIDE

SWIFT 2021 Standards Changes has a comprehensive Release Guide this year due to postponement of changes in several categories caused by pandemic in 2020. Essential changes include six new message types in Guarantees section of Category 7, besides major updates on mutual message types for Letter of Credits and Guarantees.

  • MT 761: This message will be sent in addition to an MT 760, when the information in the undertaking (demand guarantee or standby letter of credit) exceeds the maximum message size of the MT 760.
  • MT 765: This message will be used to demand payment under an undertaking and may include a request to extend the expiry date.
  • MT 775: This will be sent in addition to an MT 767, when the information in the undertaking (demand guarantee or standby letter of credit) would otherwise exceed the maximum message size of the MT 767.
  • MT 785: This message will be used to notify the beneficiary, if applicable, via one or more advising parties of the non-extension of the referenced undertaking beyond the current expiry date.
  • MT 786: This message will be used by the party obligated on the undertaking and to whom a demand for payment has been made, to notify the beneficiary that the demand has been refused.
  • MT 787: This message will be sent to the bank that issued the undertaking amendment (guarantee, demand guarantee, standby letter of credit, or dependent undertaking), either directly or via one or more advising parties, to indicate acceptance or rejection by the beneficiary of the amendment.

Additionally, there is a validation for implementation of the fields 50F and 59F on several message types according to recommendations of FATF, respectively for category 1, 2 and 9 (MT910); even though F option is not mandatory for fields 50 and 59. Remaining options has no updates for this year’s Release.

 

Standard Relase Guide Table 1

Category 3 has updated message types similar to adjustments in 2020, while categories 5 and 6 have several changes on message types.
Please find the implementation schedule of Standards MT Release 2021 below:

Standard Relase Guide Table 2

Source: SWIFT https://www.swift.com/

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Nurdan Karakış, CDCS, CAMS
Business Consultant & Business Analyst