The BIS-led initiative, anchored in Singapore, standardizes interlinking to reduce integration costs and accelerate cash conversion cycles.

Project Nexus, developed by the Bank for International Settlements Innovation Hub Singapore Centre, has advanced from a proof-of-concept to an operational framework linking five ASEAN countries' real-time payment systems, promising 60-second cross-border settlements that could transform B2B supply chain payments. As of August 2025, the central banks of Indonesia, Malaysia, the Philippines, Singapore, and Thailand have committed to live implementation, establishing the Nexus Scheme Organisation (NSO) in Singapore to manage the operational phase (Source 2). This milestone moves the initiative beyond theoretical design into a deployable infrastructure that addresses the longstanding inefficiencies of cross-border B2B trade payments.

From Proof-of-Concept to Live Implementation

Project Nexus began in 2021 with a blueprint developed by the BIS Innovation Hub Singapore Centre (Source 3). In 2022, the team built a working prototype connecting three test systems: the Eurosystem's TARGET Instant Payment Settlement (TIPS), Malaysia's Real-time Retail Payments Platform (RPP), and Singapore's Fast and Secure Transfers (FAST) system (Source 3). This early proof-of-concept demonstrated the technical feasibility of linking distinct domestic instant payment systems (IPS) across regulatory jurisdictions.

By 2024, the project completed a comprehensive blueprint covering scheme, governance, commercial model, and technology architecture, validated through consultations with central banks, standard-setting bodies, IPS operators, and commercial banks worldwide (Source 4). The blueprint confirmed that Nexus could scale beyond the initial participants. As of August 2025, five central bank partners—Indonesia, Malaysia, Philippines, Singapore, Thailand—committed to live implementation. The partners agreed to establish the Nexus Scheme Organisation (NSO) in Singapore, providing an institutional framework for ongoing operations and expansion (Source 2).

Connected Countries (count)Source: Orionmano Industries

The expansion from three test systems in 2022 to five committed implementation partners in 2025 reflects both technical progress and deepening regional cooperation. Notably, Brunei Darussalam, Laos, and Vietnam have already joined the broader regional payment connectivity initiative under the Memorandum of Understanding signed by the original five central banks in November 2022, signaling potential for further Nexus expansion (Source 4).

Standardized Interlinking Slashes Integration Costs

Nexus overcomes the limitations of bilateral interlinking by standardizing the way IPS connect (Source 3). Rather than a payment system operator building custom connections for every new country, the operator makes one connection to the Nexus platform. This single connection allows a fast payments system to reach all other countries on the network (Source 2). When a new country joins Nexus, existing members are automatically connected to that country and vice versa, enabling network growth at near-zero marginal cost for existing members (Source 3).

This architecture represents a fundamental shift from the current landscape, where cross-border payment corridors require bespoke bilateral agreements, each with separate technical integrations, compliance frameworks, and settlement arrangements. By removing the need for custom bilateral connections for each new country, Nexus reduces both the time and capital expenditure required for IPS operators to expand their international reach (Source 3). For B2B trade finance, lower integration costs translate directly into lower transaction fees for end users, particularly relevant for small and medium enterprises that have historically faced prohibitive costs for cross-border payments.

60-Second Settlement and B2B Cash Conversion

Domestic instant payment systems in over 70 countries already achieve near-instant settlement at near-zero cost to senders or recipients (Source 2). Nexus extends this capability across borders, enabling cross-border payments from sender to recipient within 60 seconds in most cases (Source 2). For B2B transactions, reducing settlement from days to seconds compresses cash conversion cycles, freeing working capital that would otherwise be tied up in payment floats. A supplier selling to a buyer in another ASEAN country can now receive funds in under a minute, rather than waiting the two to five business days typical of correspondent banking channels.

The G20 Roadmap for Enhancing Cross-border Payments highlights interlinking of IPS as a key aim and Nexus as a priority action that could have a significant impact on the speed, cost, transparency of, and access to cross-border payments (Source 4). For manufacturers and distributors operating regional supply chains across ASEAN, faster settlements reduce counterparty risk and improve predictability of cash flows, enabling more efficient inventory management and procurement planning.

Governance and Global Scalability

The five central bank partners agreed to create the Nexus Scheme Organisation (NSO) in Singapore to manage live implementation (Source 2). Central banks, standard-setting bodies, IPS operators, and commercial banks worldwide were consulted to validate scalability beyond the five countries (Source 2). Nexus is one of several BIS Innovation Hub projects contributing to the G20 Roadmap for Enhancing Cross-border Payments (Source 4). Brunei, Laos, and Vietnam have already joined the regional payment connectivity initiative under the MoU signed by the original five (Source 4).

The establishment of a permanent managing entity in Singapore provides the governance structure needed for Nexus to expand beyond ASEAN. With the Nexus Scheme Organisation operational and a scalable architecture proven, the initiative is poised to onboard additional countries and corridors, potentially redefining global B2B payments by making cross-border transactions as seamless as domestic ones.