The Federal Reserve of the USA is all set to launch a digital payments system in July this year. Federal Reserve promises that the digital payment system will help accelerate the way money moves around the globe.
Richmond Fed President Tom Barkin, who is the program’s executive sponsor, said, “FedNow, as it will be known, will create a leading-edge payments system that is resilient, adaptive, and accessible.”
According to the goals of the program, the digital payment system will allow money transfers, paychecks, disbursements, and bill payments from the government, as also a host of other customer activities to move even faster and at a lower cost.
According to a Federal Reserve announcement, the training and certification process of participants will complete in early April.
Ken Montgomery, the program executive and first vice president at the Boston Fed said, “With the launch drawing near, we urge financial institutions and their industry partners to move full steam ahead with preparations to join the FedNow Service.”