The Payments System Board convened to address several key issues, including ASX’s response to the CHESS batch failure incident from December 2024. The board examined ASX’s actions following the Reserve Bank of Australia’s (RBA) assessment of ASX Clear and ASX Settlement. The assessment had urged ASX to bolster resourcing and contingency plans for CHESS, but ASX’s response lacked detail on remediation plans. The RBA has since taken steps to gather more information and has received additional details. Staff have been instructed to explore regulatory options for current CHESS resourcing and ensure that the CHESS Replacement is robust enough for critical financial market infrastructure.
Progress in financial market infrastructure reforms and resolution planning was also discussed. The board endorsed a public consultation regarding guidance on when and how the RBA might exercise crisis resolution powers at an Australian clearing and settlement facility. This consultation will commence soon.
Updates were provided on Australia’s real-time gross settlement system, specifically concerning recommendations from the March 2024 Assessment of the Reserve Bank Information and Transfer System (RITS). Despite significant progress in areas such as change management, cyber resilience, risk management, IT controls framework, and operating model improvements, full implementation by the next RITS assessment in March 2026 remains unlikely.
A review of merchant card payment costs and surcharging was conducted with a focus on competition, efficiency, and safety within the payments system. A consultation paper will be released in July to solicit feedback on preliminary conclusions and draft revisions to RBA standards.
The board welcomed AusPayNet’s Standard for Payment Service Provider Porting of Merchant Payment-Related Data. This standard sets requirements for transferring customer payment data between providers to facilitate merchants switching providers for better payment plans. Industry compliance is expected by July 1, 2026.
Minor amendments were approved for the ATM Access Regime due to changes in how the associated ATM Access Code is administered by industry.
Lastly, an amendment was made to the RBA policy on conflicts of interest. This change allows staff from Payments Policy Department and Banking Department to engage more actively with industry committees or working groups. It aims to identify payments policy issues early while encouraging voluntary solutions that align with RBA’s public interest objectives.
