TARGET2

TARGET (Trans-European Automated Real-time Gross settlement Express Transfer) was launched in 1999 and comprised the national real-time gross settlement (RTGS) systems of EU Member States participating in the Economic and Monetary Union (EMU), the ECB payment mechanism and an interlinking mechanism.

TARGET2 is the new trans-European payment system which replaced TARGET. 

 The new system was developed to cater for the needs generated both by the enlargement of the European Union (EU) and by technological advances, as well as to meet market participants’ demands for safe and efficient payment systems across Europe.

TARGET2 is based on a technically centralized platform (Single Shared Platform – SSP), which is provided by the central banks of Germany, France and Italy and replaces the decentralized structure of the original TARGET system. With TARGET2, the Eurosystem provides participant Member states with payment services based on a single price structure for both domestic and cross-border payments. 

TARGET2-NL The Dutch component of the ESCB’s TARGET2 RTGS system.

TARGET2 was introduced in the Netherlands on 18 Feb 2008. The difference vis-à-vis the previous version of TARGET is that it uses one central technical platform for payments, eliminating the need to maintain national large-value payment systems. Financial institutions send their large-value payments directly to the platform. Most Dutch credit institutions participate in TARGET2-NL.