The definition of SWIFT:
SWIFT is an international interbank financial network which offers special and services through computer centers around the world.
SWIFT is a network that currently transfers financial messages between members and other users in 607 countries. Individuals can do their payments by institutions that use SWIFT. Sending SWIFT messages can confirm the details of the contracts between two users or convert foreign currencies.
The primary objectives of the creation of SWIFT was replacing non-standard paper communication methods or the transmission of messages by Telex internationally with a universal standard method. From the beginning of SWIFT’s establishment, it has undergone a major shift in its methods and mechanisms.
Advantages and importance of SWIFT:
- It is standard.
- Low cost
History of SWIFT:
Albert Prince of Belgium sent the first message via SWIFT with 6033 words. Its headquarters are in Belgium. Meanwhile, countries in the US, the Netherlands, Hong Kong and the UK operate as customer service centers. SWIFT has a SAP in all countries which is controlled by the SWIFT center.
It should be noted that the cost of using SWIFT is counted based on 118 Euro.