Buna launches a new service establishing a more accessible and more secure foreign exchange (FX) market

The new service provides financial institutions participating in Buna with an open marketplace to make FX deals directly between each other and enables safe and secure settlement of the resulting transactions in Buna.   

Abu Dhabi, May 10th, 2023:Buna (the cross-border payment system operated by Arab Regional Payments Clearing and Settlement Organization “ARPCSO”, owned by The Arab Monetary Fund “AMF”), announces the launch of its service supporting a more accessible and more secure foreign exchange (FX) market.

The new service offers an open and modern marketplace for FX, where participants in the Buna system can benefit from a modern set of APIs to exchange information and agree on the terms of their FX deals directly between each other, without the involvement of Buna or any other intermediary in these deals.

The processing of the resulting transactions is then done immediately in a safe and secure way by using the Payment versus Payment (PvP) mechanism, which ensures that settlement in one currency occurs if and only if the settlement of the other currency occurs simultaneously. 

This new service optimizes the use of liquidity in multiple currencies, creates new business opportunities for the Buna participants and contributes to enhancing the safety and efficiency of cross-border payments, in line with the agenda of the G20.

At this occasion, Mehdi Manaa, Chief Executive Officer of Buna said: 
“Buna’s latest innovation is a natural extension to our platform and will transform the way foreign exchange transactions are conducted. Our participants can now benefit from enhanced operational efficiencies, reduced risks, and added incremental value through new business opportunities. This strengthens our commitment to enhance cross-border payments and promote the use of Arab currencies in that context.”