GYD correspondent banking: who clears the GYD

Tracing a GYD chain

Each instruction names the institution holding that bank's GYD account. Following those links repeatedly ends at a bank that publishes no onward GYD instruction — the ultimate clearer, with direct access to clearing. That is where the money actually settles before moving inwards to the beneficiary.

Who clears GYD payments?

GYD settles through the local clearing system. Banks without direct access hold a nostro account with a correspondent that has it, so a GYD payment reaches the beneficiary by settling at that correspondent first and moving inwards. In the current dataset 3 distinct institutions act as GYD correspondents.

How concentrated is GYD clearing?

The three largest GYD correspondents between them serve about 100% of the banks that publish a GYD instruction. Concentration matters because the withdrawal of one correspondent can affect a large number of respondent banks at once.

How do I find a bank's GYD correspondent?

Search the bank's BIC, select GYD, and the chain resolves hop by hop to the institution that clears the currency, including the nostro account number on each relationship.