SWIFTvõrgustikku

SWIFT, or the Society for Worldwide Interbank Financial Telecommunication, is a global messaging network used by financial institutions to send and receive information, such as instructions for money transfers, in a standardized and secure manner. It is not a bank or a payment system itself, but rather a platform that facilitates communication between banks. When a bank sends a payment instruction to another bank, it often uses the SWIFT network to transmit the relevant details. This network ensures that messages are transmitted reliably and securely, reducing the risk of errors and fraud.

The SWIFT network operates on a set of standardized codes, known as SWIFT codes or BIC (Bank Identifier Code) codes, which uniquely identify each financial institution. These codes are essential for routing messages correctly across the global network. SWIFT itself is a cooperative owned by its member financial institutions. Its primary function is to provide a secure and efficient platform for interbank communication, which is crucial for the smooth functioning of international finance. While SWIFT messages contain payment instructions, the actual movement of funds typically occurs through correspondent banking relationships.