PGK correspondent banking: who clears the PGK

Tracing a PGK chain

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

Who clears PGK payments?

PGK settles through the local clearing system. Banks without direct access hold a nostro account with a correspondent that has it, so a PGK payment reaches the beneficiary by settling at that correspondent first and moving inwards. In the current dataset 12 distinct institutions act as PGK correspondents.

How concentrated is PGK clearing?

The three largest PGK correspondents between them serve about 69% of the banks that publish a PGK 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 PGK correspondent?

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