Bank of America has gone live on CLS’s cross-currency swaps (CCS) settlement service, according to a statement from CLS. The service is designed to reduce settlement risk associated with the initial and final principal exchanges in cross-currency swaps.
CLS processes these payments through a payment-versus-payment (PvP) settlement mechanism within CLSSettlement, allowing both sides of a transaction to settle simultaneously. The service can operate together with MarkitWire’s post-trade processing platform, enabling participants to integrate CCS transaction flows into CLSSettlement and use multilateral netting for related FX transactions.
Growth in CCS settlement volumes
According to CLS, the average daily settled value of CCS transactions submitted to CLSSettlement increased by 87 per cent during 2025. The company linked the growth to increasing attention from regulators and policymakers on settlement risk in FX markets and wider use of PvP settlement mechanisms.
CLS also referenced the Bank for International Settlements’ 2025 Triennial Survey, which showed average daily FX turnover reached approximately $9.6 trillion in April 2025, up 28 percent compared with 2022.
“In an environment of heightened market volatility and increasing intraday liquidity demands, reducing unsecured settlement risk is a priority,” said Carlos Fernandez-Aller, co-head of Global FICC Macro at Bank of America.
Lisa Danino-Lewis, chief growth officer at CLS, said the expansion of the CCS service reflected “meaningful progress in reducing risk across the FX market.”
