ISO 20022 – Financial Messaging Standards Auditing in Payment Systems

₦330,000.00

Course Overview

Course Objectives:

Understand the structure and principles of ISO 20022 messaging standards.
Evaluate the implementation and usage of ISO 20022 in payment systems.
Develop auditing strategies for ISO 20022-based financial transactions.
Identify potential risks, compliance issues, and gaps in financial messaging systems.
Ensure adherence to best practices and regulatory standards in financial messaging.

Introduction to ISO 20022 and Financial Messaging

Overview of ISO 20022:
- History, evolution, and purpose of ISO 20022.
- Key benefits of adopting ISO 20022 standards in financial messaging.
- Comparison with legacy messaging standards (e.g., SWIFT MT).
Components of ISO 20022 Messages:
- Structure of an ISO 20022 message: header, body, and trailer.
- Data elements and message types (e.g., payment initiation, account reporting, and securities transactions).
- Key message categories in payments (e.g., Credit Transfer, Direct Debit, Payment Status).

ISO 20022 Implementation in Payment Systems

Adoption of ISO 20022 in Global Payment Networks:
- Overview of global financial institutions and payment systems adopting ISO 20022 (e.g., SEPA, SWIFT gpi).
- The transition process from legacy systems to ISO 20022-based systems.
- Benefits and challenges faced during implementation.
ISO 20022 in Cross-Border Payments:
- Role of ISO 20022 in enhancing cross-border payment transparency.
- Interoperability between different financial institutions and regions using ISO 20022.

Auditing ISO 20022-based Payment Systems

Auditing Methodologies:
- Techniques and tools for auditing ISO 20022 transactions.
- Identifying risks and vulnerabilities in message transmission, formatting, and compliance.
- Developing audit plans for ISO 20022-based systems.
Common Compliance Requirements:
- Regulatory standards affecting ISO 20022 compliance (e.g., GDPR, PSD2).
- Ensuring security and data privacy in payment transactions.
- Verifying message integrity, accuracy, and consistency.

Risk Management and Best Practices in ISO 20022 Auditing

Risk Management in ISO 20022 Messaging:
- Identifying potential risks in the use of ISO 20022 (e.g., fraud, data leakage, operational errors).
- Mitigating risks through effective audit strategies and controls.
- Best practices for ensuring compliance and minimizing errors in financial transactions.
Future Trends and Enhancements:
- Evolving ISO 20022 standards and their implications on future payment systems.
- Role of AI and automation in enhancing auditing practices for ISO 20022 systems.
- Exploring emerging technologies (e.g., blockchain) and their integration with ISO 20022.