LAUNCHING OF THE MAURITIUS AUTOMATED CLEARING AND SETTLEMENT SYSTEM
(21 December
2000)
Honourable
Deputy Prime Minister and Minister of Finance
Honourable
Minister of Economic Development and Financial Services
Fellow Bankers
Ladies and
Gentlemen
I
am pleased to welcome you to the Bank of Mauritius for the launching of the
Mauritius Automated Clearing and Settlement System - MACSS for short.
The
MACSS project was revived in April 1999. I have to say it right at the outset
that Mr. Michael Sarris of the World Bank was very sympathetic to my request
for bringing back the Bank’s re-application for technical and financial
assistance to his Board. Without his support the realisation of the project
would have taken a much longer time. The work on the project actually started
in September 1999 and was schedule-driven. Within 16 months, the MACSS is
operational. We have been dead on target.
The
payment system involves large value and low value payment and settlement
instruments. We have now completed the first leg in the automation of payment
and settlement system in Mauritius, that is, real time payment and settlement
of large value and time-sensitive instruments. The second phase of the project
involves the automation of the Port Louis Clearing House which currently deals
with low value cheques. The process of automating low value cheques will, inter
alia, involve the standardisation of cheques that are MICR encoded. I reiterate
my request to banks to speed up the process of standardisation of cheques as we
plan to complete the second phase of the project in the year 2001. We have to
bear in mind that no country in the modern world can legitimately aspire to
become a regional financial centre without having an automated payment and
settlement system. I have been told by several central bank governors in the
Eastern and Southern African countries that they would like to replicate our
automated payment and settlement system – if it works. Indeed, it is working.
We have ventured to take the risk at the knife-edge; let us now be at the
cutting edge in the region.
During
the first few days of its operation, large value payments adding up to Rs 8.0
billion have been effected and automatically settled without risk through the
MACSS. This shows the degree of importance of having such a system wherein the
risks of settlement is almost eliminated and efficiency in our payment system
is enhanced. It is expected that the MACSS will eventually bring about a revolutionary
change in our payment system.
May
I underline that the MACSS uses the latest Internet Technology throughout its
software application with, of course, all extra security features. The service provided by MACSS ensures
confidentiality. It enhances the scope for efficient liquidity management by
the participants.
Quite importantly, I have to say
that the cost of the project has been well within the budget.
As I said earlier, the project was
schedule-driven. Much effort has been put in the realisation of the project.
The Bank of Mauritius wishes to express its thanks to the members of the
Payment System Co-ordinating Committee, the Ministry of Finance, in particular,
Mr. Oozeer, Adviser, Accountant General, Mr.Valayathen and the Revenue Commissioner,
Mr.Seenuth, for their collaboration. The Bank would also like to thank Montran
Corporation, Price Waterhouse Coopers and Mr.Bob Keppler of the World Bank for
having worked hard for the conclusion of the first leg of the project in time.
Thank
You.