Payments
As the financial industry evolves toward real-time, cross-border, and digital-first solutions, payment standards form the critical infrastructure that enables secure, seamless, and interoperable transactions. The ABBL plays a pivotal role in shaping, implementing, and coordinating payment standards across Luxembourg’s financial sector.
Through advocacy, coordination, and technical expertise, the ABBL ensures that banks and payment service providers are well-positioned to comply with evolving standards, innovate confidently, and remain competitive in a rapidly transforming payment landscape.
Acting as a National Focal Point for Standards Implementation
The ABBL acts as Luxembourg’s central coordination platform for the adoption and deployment of domestic and international payment standards. This includes:
- Supporting the implementation of SEPA standards (credit transfers, direct debits, instant payments).
- Promoting ISO 20022 migration for interbank and customer-to-bank payments.
- Facilitating compliance with EU regulations, such as PSD2 and the upcoming PSD3, as well as the Instant Payments Regulation.
- Engaging on request-to-pay, e-invoicing, and digital euro initiatives.
The ABBL works closely with members, regulators, and infrastructure providers to ensure harmonised, future-ready adoption of these frameworks.
“Payment standards are the invisible backbone of finance—ensuring that transactions remain secure, seamless, and trusted across borders.”
Galina Miroshnichenko
Adviser – Payments & Digital, ABBL
The Payment Standards Toolbox
In Luxembourg, banks have mandated the ABBL to define the IBAN/BIC codes for all banks in Luxembourg and to create and manage SCIs at the request of a creditor bank. We also provide guidelines for all types of XML messages.
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Communication on Hybrid Postal Address Migration
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Correspondent central banking model CCBM
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ISO20022 Migration
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Titre Universel de Paiement (TUP)
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XML Customer Credit Transfer Initiation Message ISO 20022 Guidelines
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XML Payment Status Report Message Guidelines
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XML SEPA Direct Debit Initiation Message: Guidelines
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XML Statement Message Guidelines
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SEPA Creditor Identifier: Application Form
The SEPA Creditor Identifier (SCI) is a unique reference for each creditor, which allows the debtor and his bank to know the identity of the issuer of the direct debit, for example in the event of a claim or request for reimbursement. This reference must be included on all direct debit requests.
Structure of the SEPA Creditor Identifier
The SCI is structured in 4 parts:
- Digits 1 and 2: ISO country code (FR for France)
- Digits 3 and 4: 2 control numbers
- Digits 5 to 7: Activity code which can be used freely by the creditor
- Digits 8 to 28: National identifier.
The length of the SCI varies from country to country, but never exceeds 35 characters.
Applying for a SEPA Creditor Identifier
Please note that the application must be submitted via the respective bank of the client. A contract between the ABBL and the bank must exist or should be set-up first.
Representing the Luxembourg Payments Sector at European and Global Levels
The ABBL serves as Luxembourg’s voice in key standardisation and regulatory discussions, acting as a liaison between:
- Member institutions (banks, PSPs, payment FinTechs).
- National authorities, including the CSSF and the BCL.
- European institutions such as the European Payments Council (EPC), Euro Retail Payments Board (ERPB), and European Commission.
- International standard-setting bodies like SWIFT and ISO Technical Committees.
Through active participation in these forums, the ABBL defends the interests of its members, contributes to technical harmonisation, and helps shape future payment ecosystems.
Facilitating Knowledge Sharing and Technical Readiness
To support smooth implementation of new standards, the ABBL provides:
- Practical guidance and documentation on technical specifications and compliance requirements.
- Working groups and expert clusters where members can discuss use cases, challenges, and integration.
- Information sessions, webinars, and workshops focused on key developments in payment technologies and infrastructure.
- Surveys and consultations to align sector priorities and reflect member perspectives in standard-setting discussions.
This ensures that ABBL members are not only compliant, but also strategically aligned with the future direction of payments innovation.
Supporting Innovation and Digital Transformation in Payments
As digitalisation reshapes how individuals and businesses pay, the ABBL encourages the development of modern, resilient, and user-friendly payment solutions. Through its involvement in open banking, instant payments, and FinTech integration, the ABBL helps members:
- Explore API-based payments and new interface models.
- Evaluate the potential of DLT, tokenised payments, and programmable money.
- Participate in digital euro readiness discussions.
- Understand the implications of embedded finance and non-bank PSPs.
The ABBL serves as both a compliance guide and an innovation enabler in this fast-moving field.
ABBL and the Management of Luxembourg’s IBAN/BIC Register
As part of its commitment to ensuring efficient payment operations in Luxembourg, the ABBL manages the national IBAN/BIC register in close coordination with local supervisory authorities. This service supports the Luxembourg community of Payment Service Providers (PSPs) in meeting their regulatory obligations.
Under EU regulations governing credit transfers and direct debits in euro, the IBAN (International Bank Account Number) is the mandatory identifier for payment accounts. Only the financial institution managing a customer’s account is authorised to generate the IBAN.
While payment service users are no longer required to input a BIC (Bank Identifier Code) when initiating a payment, it remains the responsibility of payment service providers to include the BIC in the transaction. SWIFT, as designated by the International Standards Organisation, serves as the global registration authority for issuing BICs upon request by supervised entities.
In Luxembourg, all authorised entities that open payment accounts and provide payment services must assign IBANs and BICs to those accounts. This requirement also extends to branches of foreign institutions operating in Luxembourg: if they open accounts for customers, they are regarded as the account-holding institution and must use IBAN/BIC codes with the LU country identifier.
Through its management of the IBAN/BIC register, the ABBL helps ensure that Luxembourg’s payments ecosystem remains compliant, transparent, and aligned with European standards.
