IQD correspondent banking: who clears the IQD

Tracing a IQD chain

Each instruction names the institution holding that bank's IQD account. Following those links repeatedly ends at a bank that publishes no onward IQD instruction — the ultimate clearer, with direct access to clearing. That is where the money actually settles before moving inwards to the beneficiary.

Who clears IQD payments?

IQD settles through the local clearing system. Banks without direct access hold a nostro account with a correspondent that has it, so a IQD payment reaches the beneficiary by settling at that correspondent first and moving inwards. In the current dataset 15 distinct institutions act as IQD correspondents.

How concentrated is IQD clearing?

The three largest IQD correspondents between them serve about 36% of the banks that publish a IQD instruction. Concentration matters because the withdrawal of one correspondent can affect a large number of respondent banks at once.

How do I find a bank's IQD correspondent?

Search the bank's BIC, select IQD, and the chain resolves hop by hop to the institution that clears the currency, including the nostro account number on each relationship.