Absa joins CLS as new settlement member
Written by Chris Lemmon
South Africa’s Absa Bank has joined the CLS network, a market infrastructure delivering settlement, processing and data solutions, as a settlement member.
Absa joins 66 other banks in becoming a settlement member in CLSSettlement, a payment settlement service for the global foreign exchange market, which settles $5 trillion on an average day for its clients.
David Puth, CEO of CLS, commented: “I am very pleased to welcome Absa as a direct participant in our settlement service. Absa has been part of our network since the South African rand was added to CLSSettlement in 2004. This latest development strengthens our presence in South Africa and is further endorsement of our commitment to meeting the evolving needs of our clients.
“Participation in CLSSettlement continues to grow and our settlement members, such as Absa, play a critical role in ensuring market participants have access to the highest standard of risk mitigation to support their trading operations.”
Neil Slabbert, chief operating officer, corporate and investment banking at Absa, added: “Although Absa has always been a participant in CLS, joining as a member with direct participation in the CLS settlement service is an important milestone for Absa. FX facilitation is a key part of our product offering and mitigating settlement and credit risk is vital considering daily trading values.”
Wells Fargo and the Daiwa Securities Group were the last financial institutions to become direct participants in the CLS settlement service back in the summer of 2016.