ZURICH (Reuters) – Switzerland is moving closer to becoming a cashless society after the launch of an instant payments system that enables funds to be transferred within seconds, the Swiss National Bank and financial infrastructure operator SIX said on Wednesday.

Instant payments are bank transfers that enable funds to be made available in the recipient’s account within 10 seconds of making a payment order, instead of waiting several days for the funds to be credited.

Some 60 financial institutions can now receive and process instant payments, accounting for more than 95% of Swiss retail payment transactions, the SNB said after the programme was launched on Tuesday.

As reported by the SNB, more banks will announce similar services in the coming months, and by the end of 2026 they should cover all financial institutions in Switzerland.

“The launch of this product marks another important milestone and reflects the collective commitment of stakeholders to the future of cashless payments in Switzerland,” the SNB said.

The central bank added that while time-honored payments are still possible, instant payments will become more common in the medium term.

The SNB and SIX launched the project in November 2023 to catch up with Europe and the United States, which have been using instant payments since 2017 and last year, respectively.

Instant interbank payments reduce settlement risk because debits and credits are immediate and final, and both parties always have an up-to-date account balance, making planning and budgeting easier.

Accelerating payments could also spur economic growth because businesses would be able to reinvest the money they received more quickly.