Exclusive Interview with Stella Lim, Chief Operating Officer, Partior: “With new forms of money coming to the fore and the emergence of non-bank financial institutions, the global financial ecosystem is now at a pivotal moment in its modernisation journey driven by growing customer demands and enabled by blockchain technology”.

TDB: Please share with us a brief overview of Partior.

Stella Lim, Chief Operating Officer (COO), Partior: The genesis of Partior lies in Project Ubin, a collaborative project with the industry to explore the use of blockchain and distributed ledger technology for clearing and settlement of payments and securities. Its objective was to pinpoint and address existing issues the market has been facing on cross-border payments and delivery versus payments (DvP).

After five years of design testing with various industry players including financial institutions, fintech companies, and consulting firms, Partior emerged successfully from this exercise, supported by our founding shareholders that comprised Temasek, DBS, and J.P. Morgan. At the end of 2022, we also welcomed Standard Chartered Bank as a full shareholder and in October 2023 we celebrated our second anniversary.

Partior is the global unified ledger market infrastructure for clearing and settlements for cross-border payments. We look at how money moves globally and how we can help the community have better access to the liquidity pool itself. We are also looking into optimising and continuously upgrading and updating our network infrastructure to provide the required DLT solutions to financial institutions, whose customers seek faster, better, and more transparent access to desired payment information and data.

TDB: Can you give us an update on the Partior platform’s engagement, reach and key milestones achieved in 2023?

Stella Lim: In 2023, the Partior platform was updated to ensure an open and interoperable network that can function as a global unified ledger. With this upgrade, the platform now has the capabilities that allow banks to initiate cross-border pool payment requests and optimise the working capital efficiency for their enterprise clients who are effectively serving large corporate clients on-chain. In addition, we have also integrated automated intra-bank and enterprise liquidity management solutions.

Recently, Partior published a position paper that examines how Partior is addressing inefficiencies of the current messaging-based market infrastructure as a global unified ledger. The paper also featured insights on how to usher in a new era of global financial transactions.

In the position paper, we outlined a few use cases that leverage our 24×7 always-on multi-currency real-time clearing and settlement for global clearing and settlements.

The use of decentralised FX PvP solutions in the area of global FX settlements features as our second use case to demonstrate how market participants can execute real-time automatic settlements for FX trade. This not only reduces the settlement risk but also enhances liquidity management across both advanced and emerging market currencies.

The final real-life application was on liquidity optimisation, where we highlighted the efficiencies that can be reaped from enjoying immediate access to both on-chain and off-chain liquidity pool on Partior’s platform, significantly reducing the need for pre-funding. This is a very important point, especially for the banks and enterprises.

TDB: What is holding back the formation of reliable, efficient and secure cross-border settlement systems given the pace of financial innovation being observed today?

Stella Lim: A lot of emerging technologies deployed by new entrants have contributed to increased innovation within the global financial ecosystem. However, innovation serves as a double-edged sword as it can lead to greater global financial fragmentation and the complexity of having to navigate through multiple payment systems, whether domestically or cross-border. Currently, banks not only have to deal with the complexity of reconciling the different systems, roles, and policies in a single transaction but also the financial risks and potential of getting disintermediated due to emerging technologies.

This is likely to persist given the rapid proliferation of various payment platforms, which may exceed the integration capacity of smaller banks. Banks are right now very deeply entrenched into the legacy infrastructure. Integrations into new technology is not as simple, and it is not something that can be done overnight as well. Integrations have to coexist with both new requirements and traditional legacy systems. Hence, DLT adoption is highly dependent on how easily the DLT network can be plugged into the existing infrastructure.

This is where Partior comes in to provide the solutions that help banks and financial institutions remain interoperable between different systems, whether domestically or on a cross-border basis. Another thing that we look at is the scalability obstacles and how we can achieve faster settlement times and realise greater capacity efficiency required for an instantaneous cash settlement network through DLT.

However, despite the progress that has been made, many financial institutions are still looking for ways to scale these innovations. This is why it’s critical that the industry works together to ensure that proper frameworks are put in place to encourage continuous innovative efforts where the industry, as a whole, can benefit from. From what I’m seeing, private-public collaboration is already underway in terms of exploratory initiatives but it’s time for both sectors to work together to define a policy where everyone can provide the same standards across the multiple jurisdictions.

TDB: How do you see the global cross-border payments landscape evolving and how is Partior helping institutions in rethinking and optimising their cross-border strategy in line with these shifts?

Stella Lim: The concept of liquidity is constantly changing and this has profound implications for cross-border payments. With new forms of money coming to the fore and the emergence of non-bank financial institutions, the global financial ecosystem is now at a pivotal moment in its modernisation journey driven by growing customer demands and enabled by blockchain technology. The future of money is transforming and the industry is now rethinking the design of cross-border money movement and the value exchange, alongside new product and service development while exploring new ways of doing business with each other.

We have heard plenty about the emergence of digital assets and how it will impact financial institutions. In the broader scheme of things, digital assets remain a nascent asset class and as with all new disruptive technology, it takes time and a little trial and error to build up robust regulatory guidelines for it.

Generally, banks are quite reluctant to immediately jump on the bandwagon and adopt new solutions due to a fear of the unknown and a reluctance to alter legacy frameworks. This frequently comes up in our conversations as more than 40% of the banks we’ve been in conversations with have shared that the most challenging part of adopting a new solution is the technical integration into existing systems.

At a deeper level, more than 50% of the banks we’ve spoken to cite the challenge of having to go through a multi-phased implementation to integrate real-time systems into the bank itself as another push factor. This is understandable since it requires establishing new processes in the back and front office.

At Partior, we’re aware of these complexities and have built solutions using our technology on multi-clouds and are looking into various ways to facilitate seamless innovation  integration into existing systems. We’re also looking into various different phased approaches so that our customers can instantly fully enjoy the benefits of the Partior platform.

Shopping Cart

Media Kit

    Data Protection

    Personal Data (“Data”) submitted for Media Kit (“Media Kit”), and/or collected in the form of first name, last name, email address and other contact details may be used for the purposes of inviting you to future events and for reaching out to you with content which may be of interest to you. For these purposes, The Digital Banker will share the Data with our associate companies (including event and content sponsors) to promote their products and services. You will also be automatically subscribed as a user on www.thedigitalbanker.com. If you would like to opt-out, email us at [email protected].

    By clicking Submit, you acknowledge that you consent/ have sufficient informed consent to the collection, use and disclosure of Data as set out above.

    The Digital Banker Summit

    Moving on from FTX: is 2023 the year of CBDCs?

    Indonesia, Jakarta

    Thailand, Bangkok

    Philippines, Manila

    Contact Us

      Data Protection

      The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

      Request Nomination Pack

        Data Protection

        The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

        Registration Form

          Data Protection

          The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

          Registration Form

            Data Protection

            The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

            Registration Form

              Data Protection

              The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

              Registration Form

                Data Protection

                The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

                Registration Form

                  Data Protection

                  The information you provide will be held on our database and may be used to keep you informed of our and our associate companies’ products and for selected third party mailings. Please tick the box if you would prefer not to be contacted for these purposes:

                  The world’s preeminent Private Banks and Wealth Managers are demonstrating a committed drive in innovation, advisory, new products and services to meet the sophisticated needs of their clients.

                  COVID-19
                  Amid economic activity revival on the back of the Covid-19 vaccine program, organisations moving from business continuity plans to stable working environments, together with the slightest improvement in unemployment numbers, forced the world to adjust to new realities. Coming to terms with the “new normal”, global investors are now on the look-out for attractive and stable investment opportunities.

                  Needs of Private Wealth customers and families worldwide have drastically changed due to the pandemic and banks have had to accelerate efforts to deploy a multi-channel service strategy and safeguard clients’ businesses and wealth against negative impacts of economic uncertainly.

                  The Global Private Banking Innovation Awards will recognise the world’s best private banks, wealth managers and asset managers that are championing innovation across advisory, service, products, customer experience and more.

                  Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. 

                  Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum.

                  Request Nomination Pack

                  Error: Contact form not found.