International Monetary FundWorld Bank2017-08-102017-08-102010-11https://hdl.handle.net/10986/27736Payment systems are a core part of all financial systems. The quality of payment systems determines the stability of the overall economy, the efficiency and reliability of financial intermediation, and the possibility for the private sector to innovate and provide new services to consumers. This technical note presents the results of the assessment of payments, remittances, and securities settlement processes in El Salvador, based on international standards and best practices. It includes several observations for the improvement of the National Payments System (NPS) in El Salvador. This note takes into account the peculiarities of the jurisdiction of El Salvador: namely, the relatively small size of the financial system and the dollarized nature of the economy. The central bank and other institutions are already planning appropriate actions on many of the issues discussed. In some cases, however, the team identified additional elements, which are discussed in this note.en-USCC BY 3.0 IGOACCOUNTABILITYACHASSETSATMAUTHORIZATIONBANK ACCOUNTSBANK BRANCHESBANK CUSTOMERSBANK SUPERVISIONBANKING SECTORBANKING SUPERVISIONBENEFICIARIESCAPITAL MARKETCAPITAL MARKETSCASE OF DEFAULTSCASH MANAGEMENTCENTRAL BANKCENTRAL BANKSCENTRAL SECURITIES DEPOSITORYCHECKING ACCOUNTSCHEQUESCLAIMCLEARING HOUSECLEARINGHOUSECOMMERCIAL BANKCOMMERCIAL BANKSCONSUMER PROTECTIONCOOPERATIVE BANKSCORPORATE BONDCORPORATE BOND ISSUERSCORPORATE BONDSCREDIT CARDSCREDIT RISKCREDIT RISKSCREDIT TRANSFERCREDIT TRANSFERSCURRENCYCUSTOMER ACCOUNTSDEBIT CARDSDEFAULTSDELIVERY VERSUS PAYMENTDEPOSITDEPOSITSDISBURSEMENTDVPEDUCATION LOANSEFFECTIVE GOVERNANCEEFTEFTPOSELECTRONIC FUNDSELECTRONIC FUNDS TRANSFERELECTRONIC PAYMENTELECTRONIC PAYMENT SYSTEMSEND-USEREQUITY MARKETSEVOLUTION OF PAYMENTFACTORINGFINAL SETTLEMENTFINANCE COMPANIESFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIARIESFINANCIAL INTERMEDIATIONFINANCIAL PRODUCTSFINANCIAL RISKSFINANCIAL SERVICESFINANCIAL SYSTEMFINANCIAL SYSTEMSFLOWS OF PAYMENTSFOREIGN BANKSFRAUDFUNDS TRANSFERGOVERNMENT PAYMENTSGOVERNMENT POLICIESGOVERNMENT SECURITIESGROSS SETTLEMENT SYSTEMHOSTINSTRUMENTINSURANCESINTERBANK PAYMENTSINTERNAL CONTROLINTERNAL REPORTINGINTERNATIONAL BANKINTERNATIONAL MARKETSINTERNATIONAL STANDARDSINTERNET BANKINGJURISDICTIONJURISDICTIONSLAWSLEGAL FRAMEWORKLEGAL PROHIBITIONLEGAL PROVISIONSLEGAL REFORMLEGISLATIONLENDERLENDER OF LAST RESORTLIQUIDITYLIQUIDITY MANAGEMENTLIQUIDITY RISKLIQUIDITY RISKSLOCAL CAPITAL MARKETLOCAL MARKETMAKING PAYMENTSMICROFINANCEMICROFINANCE INSTITUTIONSMISMANAGEMENTMOBILE PHONEMONETARY FUNDMONEY TRANSFERMORTGAGEMULTILATERAL NETTINGNATIONAL PAYMENT SYSTEMSNEGOTIATIONOPEN ACCESSOPERATIONAL RISKOPERATIONAL RISKSORDER OF PAYMENTOVERSIGHT OF PAYMENT SYSTEMSPAYMENT INSTRUCTIONSPAYMENT INSTRUMENTPAYMENT INSTRUMENTSPAYMENT SERVICESPAYMENT SYSTEMPAYMENT SYSTEMSPAYMENTS SYSTEMPAYMENTS SYSTEMSPENALTIESPLAN FOR PAYMENTPOINT OF SALEPOINT OF SALE TERMINALPOSPRIVATE NETWORKPUBLIC POLICYREAL TIME GROSS SETTLEMENTREAL TIME GROSS SETTLEMENT SYSTEMREAL-TIME GROSS SETTLEMENTREGULATORY FRAMEWORKREMITTANCEREMITTANCE SERVICEREMITTANCE SERVICESREMITTANCESREPOREPO FACILITYREPO MARKETREPO MARKETSREPO TRANSACTIONSRESERVERESERVE ACCOUNTSRESERVE REQUIREMENTSRESERVESRETAIL PAYMENTRETAIL PAYMENT SYSTEMSRETAIL PAYMENTSRETURNRISK MANAGEMENTRTGSSALARIESSAVINGSSECONDARY MARKETSECURITIESSECURITIES MARKETSECURITIES SETTLEMENTSECURITIES SETTLEMENT SYSTEMSSECURITIES TRANSACTIONSSERVICE PROVIDERSETTLEMENTSETTLEMENT PROVISIONSSETTLEMENT SERVICESSETTLEMENT SYSTEMSSETTLEMENTSSTAKEHOLDERSSTANDARDIZATIONSTOCK EXCHANGESTOCK MARKETSTOCK MARKET CAPITALIZATIONSTOCKSTERRORISMTRANCHETRANCHESTRANSACTIONTRANSFER OF FUNDSTRANSPARENCYTREATYReportWorld Bank10.1596/27736