The Society for Worldwide Interbank Financial Telecommunications (SWIFT), legally S.W.I.F.T. SC, is a Belgian cooperative providing services related to the execution of financial transactions and payments between banks around the world. Burraq IT solutions provide the best SWIFT Training courses in Lahore Pakistan. Its main function is to serve as the main communication network through which international payments are initiated.
It also sells software and services to financial institutions, primarily for use on its own “SWIFT Net“, and assigns ISO 9362 Business Identifier Codes (BICs), popularly known as “SWIFT codes”. The SWIFT messaging network is part of the global payment system]. SWIFT functions as a carrier of “messages containing payment instructions between financial institutions involved in a transaction”.
However, the organization does not administer accounts on behalf of individuals or financial institutions and does not hold third-party funds. It also does not perform clearing or settlement functions.
Once a payment has been initiated, the payment must be cleared through a payment system such as TARGET2 in Europe. In the context of cross-border transactions, this step often takes place through correspondent bank accounts held between financial institutions.