A Real-Time Gross Settlement System (RTGS) is a funds transfer system in which the transfer of funds between one bank and another takes place in "real-time" and on a "gross" – transaction by transaction – basis, without bundling or netting with any other transaction.
Once a transaction is initiated and if there are sufficient funds then transactions are processed and settled as soon as it entered into RTGS System. RTGS transactions may be customer to customer or bank to bank but are always sent by one bank (the paying bank) and received by another (the collecting bank).
RTGS System in Nepal is implemented and hosted by Nepal Rastra Bank.
connectRTGS is an integration component for integrating banks & financial institutions’ (BFI) internal systems with the RTGS system hosted by NRB which helps BFIs to initiate and process RTGS transactions. It has an outward module to initiate outgoing transactions and an inward module to process incoming transactions from the RTGS system. It is integrated with the bank’s system to enable full STP for the banks in order to comply with the SLA of the RTGS system prescribed by NRB.