ISO 20022 – SWIFT

The ISO 20022 migration is the replacement of SWIFT related FIN Message Types (MT) for Cross Border payments by equivalent ISO 20022 messages. The scope is Category 1, 2 and 9 messages which are sent between Financial Institutions via the SWIFT network.

These ISO messages are highly structured - using the extensible markup language (XML) - which means that banks will literally be using a new language for payments related information exchange.

These ISO 20022 messages are commonly referred to as MX messages.

According to SWIFT, the global migration to ISO 20022 is more than a regulatory requirement. It represents a strategic shift towards a more integrated, efficient and customer-focused payments ecosystem. MX messages

MX messages introduce several useful enhancements, such as a field for identifying the ultimate beneficiary of a payment. They also allow for a greater flexibility through optional extension fields, and their structured XML format makes them easy to read and integrate across IT systems. Built-in validation and stricter structure improve data quality and processing reliability.

However, the transition to MX may present some initial challenges. The standard allows for some interpretation, which could affect reconciliation (e.g. matching payment statements with accounting entries). MX files are also more data-rich and therefore larger in size, which may impact system performance in some environments.

Despite these considerations, Rabobank supports the transition to MX due to the long-term benefits of the format.

Please also read: 5 reasons why you should adopt ISO 20022 now | Swift

The migration for Cross Border Payments and Reporting plus, commonly referred to as CBPR+, started in March 2023 and contains several deadlines until November 2027. During the co-existence periods both MT and MX messages will be exchanged between banks.

Migration is mandatory for all Financial Institutions with bank-to-bank connections.

Rabobank Wholesale - and Retail Clients who manage their Payments and Reporting via their own SWIFT connection can be divided into two groups:

1. Clients who are by SWIFT referred to as a Supervised Financial Institution: these clients also need to adhere to SWIFT's migration deadlines.

2. Clients who are by SWIFT referred to as a Corporate: these clients are allowed to continue using MT messages. However, if you belong to this group you are encouraged to adopt the ISO standards to benefit from all the advantages of using these.

The same impact, as described for the second group, applies for Wholesale - and Retail Clients who use Rabo Direct Connect (RDC) and/or Rabo Business Banking (RBB) for their Payments and Reporting.

The following messages are in scope of ISO20022 migration at Rabobank:

Rabobank embraces innovation and regarding ISO messages encourages all parties involved to migrate to MX message-based information exchange. Even though the ISO migration is only mandatory for Supervised Financial Institutions, all parties should be able to benefit from the advantages of MX-based information exchange.

*) Rabobank will adhere to the latest/up to date Usage Guidelines.

**) In the scenario of a rejected MT101 at the Executing Bank, the routing and processing of the incoming status report is currently non-STP and is taken care of manually by Rabobank's investigations team.

***) Rabobank's Cross Border payment engine will natively process ISO messages as of July 2025.

Rabobank's offers support on formats via SWIFT MyStandards. Members of the open Rabobank community "Daily Banking Business" have access to our Portal with the following information: