Successful launch of new T2 wholesale payment system

The Eurosystem’s successfully launched the new T2 wholesale payment system, which includes an RTGS system and a central liquidity management tool, marking a significant milestone in the harmonisation and integration of TARGET services for Europe’s financial markets.
This project is part of the Eurosystem’s continued efforts to modernise market infrastructure to ensure it meets the needs and expectations of market participants while enhancing the efficiency of Europe’s financial markets. The launch of the T2 system brings the consolidation project to an end, which began in December 2017. The project’s primary objective was to harmonise and integrate TARGET services, leading to further cost savings for participants and bringing additional benefits to Europe’s financial markets.
The migration to the new T2 system occurred from 17 to 20 March, 2023 and went smoothly, with approximately 400,000 transactions settled on the first day, which is in line with the average volume experienced before the migration. The successful launch reflects the commitment and efforts of all parties, including the Banca d’Italia, the Banco de España, the Banque de France, and the Deutsche Bundesbank, who delivered the software and environment for the new system. All Eurosystem central banks supported their national communities throughout the project.
The T2 system replaces TARGET2 as the new RTGS system, which processed payments worth €2.2 trillion per day on average before the migration. The system’s migration was made possible through the adoption of the ISO 20022 message standard and a set of common components that are shared across TARGET services, leading to further cost savings for participants.
The system’s implementation will optimise the use of liquidity, improve cyber resilience and enhance cost efficiency while providing reliable payment services for settling payments related to the Eurosystem’s monetary policy operations, as well as bank-to-bank and commercial transactions.