Project Nexus, the Bank for International Settlements-led initiative to enhance cross-border payments among participating countries, has formally incorporated Nexus Global Payments ( NGP ) in Singapore into the project, pushing it closer to live implementation.

NGP, which will be run as a not-for-profit organization, will oversee the operational rollout of the multilateral instantaneous cross-border payment scheme that counts India, Malaysia, the Philippines, Singapore and Thailand among its initial movers, all of which have contributed initial capital to its establishment.

The scheme aims to streamline and standardize how domestic instant payment systems ( IPSs ) connect internationally.

NGP, which was incorporated by the five countries’ central banks as partners, it says, is commencing a procurement process to appoint a technical operator to undertake the technical build and run the day-to-day operations of the scheme. The operator will be an external service provider responsible for technical development in addition to day-to-day operations.

Under the Nexus framework, central banks can do away with establishing separate, distinct bilateral agreements for cross-border payments. Once fully operational, each IPS operator will only have to connect to Nexus, which will serve as a hub, enabling instant transactions between participating jurisdictions.

While NGP was created up by the five countries’ central banks, which serve as “first movers” of the project, the project also aims to expand membership and participation to other interested jurisdictions over time.

Additionally, the European Central Bank and Bank Indonesia, which took part in initial phases of Project Nexus, will continue to serve as special observers throughout the operational phase.

NGP, which is conducting a search for a permanent head, has in the interim appointed Benjamin Lee, seconded from the Monetary Authority of Singapore, to serve as director.