BORICA Enhances Interoperability of Bulgaria's Instant Payment System with Montran's TIPS Connectivity Module

Introduction

Bulgaria's national payment operator, BORICA, has made significant strides in enhancing the efficiency of its instant payment systems. On March 10, 2025, they successfully launched the TIPS (TARGET Instant Payment Settlement) connectivity module developed by Montran. This launch represents a monumental step forward, allowing Bulgarian banks seamless access to the European Central Bank's TIPS services and further integrating with the local payment system, BISERA.

Bulgaria's Instant Payments Landscape

Before this innovation, the existing instant payment service, Blink, was limited in its operational capacity. The integration of the TIPS module expands Blink's capabilities to include SCT Inst (SEPA Instant Credit Transfer) for local payments and provides access to the Single Euro Payments Area (SEPA). This advancement signifies a critical upgrade, as it not only aligns local services with European standards but also enriches the banking landscape in Bulgaria.

The Role of Montran

Montran’s partnership was crucial in developing a comprehensive and future-proof solution. The company supplied a tailored upgrade to BORICA’s current instant payments framework, introducing two prefinancing modules: one for TIPS and the other for EURO INST to facilitate domestic transfers. This dual-module system empowers banks to efficiently manage their liquidity positions across both frameworks through unified interfaces.

Furthermore, the TIPS connection enables advanced liquidity monitoring and control, facilitating smooth integration with TIPS, T2, and STEP2 via the Swift network. This ensures that Bulgarian banks can optimize their funding positions effectively, enhancing operational efficiency while complying with European regulations.

Insights from BORICA and Montran

Vania Ganeva, the payment services director at BORICA, expressed optimism regarding the new capabilities brought forth by Montran’s solutions. "Thanks to Montran's offerings, we can now provide our member banks with a more optimized and efficient way to access TIPS for instant payments. Enhanced liquidity management tools allow banks to optimize their positions within TIPS and EURO INST, thus ensuring operational efficiency and compliance with European standards."

Keith Esca, the global sales director at Montran, echoed this sentiment, noting that this partnership exemplifies Montran’s commitment to delivering tailored solutions to meet specific market needs. The successful implementation of the TIPS connectivity module underscores the strengths of this partnership in driving innovation and supporting cross-border payment compliance among Bulgarian banks with SEPA.

The Impact on Bulgaria’s Payment Infrastructure

Following rigorous testing, the TIPS connection module is now operational, marking Bulgaria's payment infrastructure as fully compliant with European standards for instant payment execution and settlement. This accomplishment not only enhances the efficiency of payments within the country but also improves cross-border interoperability—paving the way for a robust, integrated banking ecosystem.

About BORICA and Montran

BORICA is a joint-stock company in Bulgaria owned by 19 domestic banks, known for developing and maintaining the technological infrastructure of the national payment industry. For over 30 years, BORICA has been a trusted partner for public sector initiatives, banks, and payment institutions, providing innovative solutions for financial institutions.

Montran, on the other hand, stands as a leading provider of payment and capital market infrastructure solutions. The company serves significant financial institutions across the globe, having executed critical installations in over 90 countries.

Conclusion

The launch of the TIPS connectivity module by BORICA marks a pivotal moment in Bulgaria's financial technology landscape, solidifying the country’s commitment to enhancing payment systems and fostering an innovative banking environment. As collaboration with Montran continues, the future of Bulgaria's payment infrastructure looks promising, with improved efficiency and compliance on the horizon.