SWIFT, the industry-owned co-operative supplying secure, standardised messaging services and interface software to financial institutions worldwide, has taken the unusual step of issuing new guidelines ahead of revised standards that are usually released just once a year.

This unusual step has been prompted by the upcoming 1 July launch of the new UCP 600 rules for documentary credits.

Alignment

Traditionally, SWIFT groups all relevant standards changes in one annual standards release, usually in October or November, and this year on 27 October.

But to remain aligned with the new UCP 600 from 1 July, the SWIFT UCP 600 Guidelines have been issued so that financial institutions can start using them as soon as the UCP 600 rules go live.

Seamless transition

According to SWIFT, the guidelines should help ensure a seamless transition to the new rules and provide guidance to banks on how to use SWIFT's current category 7 standards in compliance with UCP 600.

The SWIFT UCP 600 Guidelines will be reflected in the official Standards Release 2007 documentation (Standards Release Guide and User Handbook) of 27 October 2007.

Challenge

Head of Trade Services Standards Development at SWIFT, James Wills, says the difference in dates for UCP 600 in July and the annual SWIFT Standards Release in October presented "something of a challenge".

However, he says "SWIFT has worked with the industry ... to manage the issue, so that the community will be able to work successfully with the dates and guidelines."

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