OTP Bank Joins CLSSettlement to Enhance FX Security

CLS confirmed that OTP Bank Plc has officially joined CLSSettlement as a settlement member, marking another step in the expansion of its global network. This makes OTP Bank the second new settlement member to join in 2025, bringing the total number to 75. As one of Hungary’s largest commercial banks and a core part of OTP Group, the institution has a strong presence in the Central and Eastern European region, where it has been experiencing consistent growth and strategic expansion. 

By joining CLSSettlement, OTP Bank strengthens its ability to manage foreign exchange transactions with greater efficiency and security. The move underscores the rising demand among global financial institutions for payment-versus-payment (PvP) settlement solutions that reduce FX settlement risk, improve operational processes, and enhance liquidity management. CLSSettlement is widely recognized as the industry standard for FX settlement risk mitigation, covering 18 of the most traded currencies worldwide. 

OTP Bank Joins CLSSettlement to Enhance FX Security

Furthermore, in the first half of 2025 alone, it recorded an average daily settled value of USD 7.9 trillion, representing a 12% year-on-year increase. Speaking on the development, Lisa Danino-Lewis, Chief Growth Officer at CLS, said, “OTP Bank’s decision to become a settlement member reflects the broader trend of financial institutions focusing on mitigating FX settlement risk and increasing efficiencies delivered through multilateral netting. Multilateral netting yields significant liquidity benefits for CLS settlement members, resulting in liquidity savings of approximately 96%, enabling cash flow to be available for other business operations like trading and business growth.”

Her remarks highlight the substantial operational and liquidity advantages that institutions can achieve through such collaboration. Similarly, Attila Bánfi, Managing Director of OTP Global Markets, emphasized the bank’s commitment to strengthening its risk management framework. He stated, “Mitigating FX settlement risk is a key priority for OTP Bank. Joining CLSSettlement as a settlement member reflects our dedication to creating a more robust FX ecosystem, and our commitment to adopting best practices across our risk management and middle office functions.”

With this membership, OTP Bank not only enhances its operational resilience but also positions itself as an active participant in the evolving global financial infrastructure. Moreover, the decision reinforces a broader industry shift towards innovative settlement solutions that promote stability, efficiency, and trust in international financial markets.

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