Central Bank Advances Digital Payments with New Fast Payment System Initiative
The Central Bank of The Bahamas (CBOB) announced yesterday that it has chosen the Montran Corporation to develop a fast payment system (FPS) solution for The Bahamas, to modernize the domestic payments system and strengthen the payments and settlements infrastructure. The CBOB said it hopes to launch the system by the first quarter of 2027.
In October of 2025, the bank launched a competitive request for proposals (RFP) process, and received 16 responses to develop the FPS.
“Since 2003, the Central Bank has partnered with Montran on several payment system solutions, including its Bahamas Inter-bank Settlement System (BISS) — a real-time gross settlement (RTGS) system — and, more recently, the Bahamas Government Securities Depository (BGSD), a centralized securities depository,” the CBOB said.
“Montran is a privately owned software development company founded in 1979, and headquartered in New York, USA.
“The company is a well-regarded global payment system technology provider, having its RTGS solution implemented in more than 40 countries, and establishing its footprint in the fast payment space through deployments in 11 countries, including in the Caribbean.
“The Central Bank’s implementation of an FPS solution expands on its Payment Systems Modernization Initiative (PSMI), which targets improved outcomes that not only increase payments efficiency, but also keep pace with evolving global payments standards and trends.”
It added that the system will also be interoperable with the existing payments and settlement platforms for the Automated Clearing House (ACH), the RTGS system, and The Bahamas’ central bank digital currency (CBDC), the Sand Dollar.
“All commercial banks, credit unions and licensed payments service providers will operate on the fast payment system,” the CBOB said.
“The government and the national insurance board will also be direct participants. Like BISS and BGSD, the Central Bank will own and operate the FPS.
“The public will receive ongoing updates in the coming months, and the implementation process will be supported by a comprehensive and intensive public education and awareness campaign, particularly for businesses and consumers.”
