MUFG Live on CLSNet
Posted by Colin Lambert. Last updated: October 31, 2024
Japanese giant MUFG Bank has gone live on CLS’ bilateral payment netting service, CLSNet, which offers settlement of a wider range og currencies that those supported on the core CLS Settlement service.
CLS says CLSNet has “consistently exceeded” $140 billion over the past 12 months, peaking in June at just over $592 billion netted. CLS recently announced that volumes on CLSNet in Q3 2024 were up 38% compared to the same quarter in 2023. It adds that the service supports 120 currencies and that MUFG’s addition builds on the “network effect” – and that currently CLSNet is used by eight of the top 10 FX banks.
“As our network expands, more and more participants around the world will experience significant improvements in operational efficiencies and risk mitigation,” says Lisa Danino-Lewis, chief growth officer at CLS.
Junya Kishida, head of global markets operations division, MUFG Bank, adds, “Joining the service will improve our operational efficiency and reduce risk for the currencies that are not currently eligible for CLS Settlement, while supporting our adherence to the best practice settlement risk principles of the FX Global Code.”