The Automated Clearing House commenced operation in 1997 from Karachi and gradually spread its network to 27 centers in major cities of Pakistan and Azad Kashmir, hence serving over 13,400 banks-branches of 42 Commercial / Microfinance Banks and National Saving Centers (CDNS) in over 530 cities and towns.
We are responsible for the efficient and safe operation of Electronic/Automated Cheque Clearing System. NIFT 27 clearing processing centers are equipped with latest state-of-the-art cheque processing scanners, sorters, encoders, latest technology based clearing software and well experienced manpower. NIFT’s system implementation has been tailored to serve local needs and was based on effective process reengineering. A direct relationship with each bank-branch is established, empowering every link in the chain.
In each NIFT center on daily basis, NIFT riders collect Outward Clearing from all Collecting / Presenting banks-branches for every clearing cycle. NIFT operation team process the outward clearing financial instruments in their center in an automated, efficient and reliable manner and then send the Inward Clearing instruments electronically as well as physically along with scroll reports & advices to relevant Drawee / Payee banks-branches/CPUs. Drawee banks process the Inward Clearing based on Electronic Cheque Images / data as well as reviewing physical instruments / reports (where necessary) and then take fate decision & finalize inward returns. Drawee banks then send the Inward Returns physical instruments to NIFT through NIFT riders. NIFT center then process the Inward Returns and finally send/email the Outward Returns electronically as well as dispatch physical returned instruments along with scroll reports to Presenting banks-branches. NIFT also finalize the net settlement of each event and send the repots to SBP for settlement with banks through RTGS.
Ease of use and digital enablement of data and images are crucial in today’s financial world. NIFT’s inward clearing processing and Returns marking are web-based. The scoreboard inquiry facility on IBCS web portal enables Bank’s Treasury to examine their outward and inward clearing positions as the day progresses, providing them timely information and support in their decision making.
The above automated clearing house (ACH) process is very critical, time bound and is being managed by NIFT Clearing Operations with full dedication and commitment. Efficient, elegant and secure, NIFT’s ACH method is indispensable to Pakistan’s financial industry.
NIFT is now moving on Electronic-Images Based Clearing leading toward full Cheque Truncation. Image Based Clearing has now been successfully launched in Karachi region since September 2021 and now planned to roll out in other cities.