Transforming payments with instant solutions

November 18, 2024

Case Studies

Client: ProCredit Bank Moldova

Region: Southeastern Europe

About this project

This project, initiated by the National Bank of Moldova (NBM), aimed to modernize the country’s payment system by introducing instant payments. Quipu developed a solution for ProCredit Bank Moldova that ensures transactions—whether P2P, RTP, QR code, deep link, or Me2Me—are completed in under 10 seconds, meeting the NBM’s requirements and enabling real-time, secure payments via the Mobile Banking Application (MBA).

Market impact:

According to the McKinsey study on Global Payments, “Instant payments will continue to displace other payment methods. Real-time payment infrastructures have now been established in almost every major market, and we believe they will accelerate the phasing out of cash and checks.

In card-concentrated markets, such as the United Kingdom and the United States, instant payments will not easily displace cards. In historically cash-heavy markets, such as Brazil and India, instant payments will likely capture C2B (Consumer to Business) share over the next few years. In these markets, regulatory mandates have enabled interoperability, which—combined with more competitive merchant propositions and compelling consumer offerings, including higher transaction limits and wider availability—is helping instant payments gain share.

We expect similar interventions in the European Union to boost adoption there. We estimate that the number of instant-payment transactions in the European Union will increase from around three billion today to almost 30 billion by 2028, an average annual growth rate of 50 percent.”

Challenges:

The project presented a few challenges, primarily due to the complexity of the requirements, which required close collaboration and project follow-up across different teams within Quipu. Timing is usually one of the biggest challenges in a project, this time was important to be live with this new solution according to the deadlines set by the National Bank of Moldova which added significant pressure to keep the project on schedule.

Creating a user interface that will be easy to manage by the client and that at the same time follows the requirements of the regulator, was a priority and proved to be a challenge.

Our approach:

To meet the requirements set by the National Bank of Moldova, which asks that instant payments should be processed in under 10 seconds, Quipu designed an API platform that processes each message connected to the payments in seconds, to provide efficient, secure and fast payments.

Our approach included:

Cloud-based architecture: We built the solution in Microsoft Azure, using cloud technology to ensure fast and reliable processing. Azure’s infrastructure allows us to keep the system available around the clock, essential for real-time payments.
Efficient communication between system parts: To make sure all parts of the system work smoothly together; we used Azure tools that let different components communicate quickly and without delays. This keeps payment processes moving efficiently, even under heavy usage.
Flexible and modular design: The solution was built in a modular way, meaning it can easily adapt to future needs and support various types of payments. With this solution we offer Peer-to-Peer (P2P) payments, Request to Pay (RTP), QR code payments, Deep Link payments, and Me2Me transfers, giving customers multiple options for instant transactions.
Focus on security and compliance: Security is a top priority for us, especially when handling financial transactions. Our solution includes strong security measures to keep transactions safe and fully compliant with the standards set by the National Bank of Moldova.

Through this approach, Quipu has been able to deliver a fast and secure instant payment solution that meets the technical needs of the National Bank of Moldova and helps ProCredit Bank Moldova provide modern, flexible digital payment options for its customers.