Automated Clearing

Automated Clearinghouse

The automation of clearing operation, which commenced with the establishment of the first centre at Karachi (in 1996), has now been propagated to all major cities of Pakistan. We have established data centers in

  •  Karachi
  •  Lahore
  •  Islamabad
  •  Peshawar
  •  Rawalpindi
  •  Hyderabad
  •  Multan
  •  Faisalabad
  •  Quetta
  •  D.I.Khan
  •  Sialkot
  •  Gujranwala
  •  Sukkur
  •  Bahawalpur
  •  Muzaffarabad
  •  Jhelum
  •  Abottabad
  •  Mirpur
  •  Sahiwal
  •  Sargodha
  •  Rahim Yar Khan
  •  Larkana
  •  Jhang
  •  Vehari
  •  D.G. Khan
  •  Attock and Nawabshah.

Almost entire country is now on NIFT ACH grid.

The introduction of the automated clearing involved creating local standards for encoding cheques and other instruments, assisting banks in preparing standard code line and training bank branch staff.

NIFT has established image based clearing systems harnessing high speed MICR Reader/Sorter equipment from NCR, UNISYS, Panini Corporation and FUJI; the approach has paved way for the next step towards cheque truncation and electronic clearing. The software implementation has been configured with a large component of code developed in-house to facilitate local requirements and changing needs.

NIFT's clearing operation has proven to be a very successful arrangement. The basic implementation has been tailored to take care of the local needs and the functional support was based on effective process reengineering. The main change relates to creating a direct relationship with each branch and dispensing with the role of the central branch at multi-branch-banks in a manner that NIFT collects the outward clearing directly from each and every branch and arranges processing, presentment and processing of returns, providing the net position etc to the central bank and necessary scrolls, reports and advices for accounting entries to all banks and their branches. Another major element pertains to merger of intra-bank clearing or transfer delivery into inter-bank clearing thus relieving large multi-branch banks of typical problems and providing an economically viable solution. NIFT also supplements auxiliary services for customized information, data query and turnkey services for specialized needs.

The inward clearing and return marking is web based. All images, data and reports are available onweb portal. The scoreboard facility on the web enables the Treasury Managers to examine their positions as the day progress and enables them to take appropriate decisions.

NIFT provides services to all 38 commercial banks and their 7365 branches in over 269 cities.

Clearing Services Offered:

  • Overnight clearing Including Return Cheque Processing (24 hour Clearing Cycle)
  • Same Day/High Value Clearing including return cheque Processing (3 hour Clearing Cycle)
  • Inter City clearing including Return Cheque Processing (48 hour Clearing Cycle)
  • Countrywide Local US Dollar Clearing (5 day Clearing Cycle)