KARACHI, July 1: Prime Minister Syed Yousuf Raza Gilani on Tuesday inaugurated the Real Time Gross Settlement System (RTGS) that would enable banks to settle their large value payments in real time using a computerised network.

Speaking on the occasion SBP Governor Dr Shamshad Akhtar informed the prime minister about the functionalities being offered by the new system and its positive impact on the banking industry.

She pointed out that the RTGS project was a complex undertaking and a lot of work had been done to make its implementation a reality. The system would facilitate the instant transfer of high value funds via electronic means.

By launching the RTGS system, Pakistan has joined those countries which have such an advanced payment systems, she added.

Dr Akhtar said that Centralised Multilateral Net Settlement in RTGS would enable banks to efficiently use their liquidity, which previously they had to maintain in different current accounts with the SBP BSC offices for retail clearing.