Framework Agreements for Payments Services to be extended

News 19 February 2002

The Swedish National Debt Office has decided to extend the framework agreements for payments services to the end of December 2003. The present agreements expire at the end of December 2002 but they contain a provision for extension. The agreements concern payments services (etc.) provided by Nordea, Postgirot Bank and Skandinaviska Enskilda Banken (SEB) to state agencies.

The Debt Office will procure new framework agreements that will come into effect on January 1, 2004. The new agreements will include many more services. Today the existing framework agreements cover about 80 per cent of the state payments volume, which amounted to SEK 4,000 billion in 2001. In addition to the framework agreements, some ten authorities have bilateral agreements with payment intermediaries, which cover another 15 per cent of the State's payments. The objective is for the new framework agreements to cover as much of these flows as possible.

Another change is that the State's compensation to the banks that act as intermediaries is to be in the form of fees. At present the compensation includes both fees and interest float. The purpose of the change is that the cost of the service performed is to be paid by the authority using the service instead of anonymously charging the State's chequing account. Transparent fees also make it easier for the authorities to compare various intermediaries.

As the upcoming procurement process will be considerably more comprehensive than usual, the procurement of the new agreements will be announced as early as the end of 2002. The Debt Office has been given the task of coordinating the agreements concluded by the State concerning payments services. Any authority that intends to sign its own agreement or renegotiate the terms of an existing agreement is to inform the Debt Office in a timely manner. Otherwise the Debt Office will not be able to evaluate the agreement, as required for its approval.

More information can be obtained from:
Pär Nygren, Head of Cash Management Department
Tel: +46 8 613 47 44.