Romania’s financial ecosystem is constantly evolving and modernizing over the last decade. The systems like SENT, SEPA transfers and Instant payments form the backbone of transfers in Romania and support its banking system to grow and deploy better solutions and technology. These developments help consumers and businesses enjoy faster, secure and standardised payment experiences across systems in Romania. At the same time, for companies operating across borders as well as locally, navigating these rails could be  complex. This article is here to break it down how these rails operate, their adoption trends and how businesses and individuals can best leverage them. 

Understanding Romania’s payment rails

The Romanian banking system is supervised by the National bank of Romania (NBR) and is supported by TRANSFOND, which is the country’s main clearing house. Together, they form a base for the payment rails and ensure interbank transfers.

1. SENT - this is the automated clearing house for small, retail payments.

2. Plăți Instant - this is the 24/7 retail payment service in Romanian Leu (RON)

3. SEPA Transfers - stands for Standardized Euro payments (includes SEPA Instant)

4. ReGIS - the is the Real Time Gross Settlement system directed towards high value transfers in RON. 

5. TARGET2 - Its main focus is the settlement of Euro dominated high value transactions. 

This multi-layered system balances efficiency in terms of small and high value transactions adding to the robustness and strength of local and cross border transfers. 

SENT Payment system in Romania

SENT, operated by TRANSFOUND, is Romania’s automated clearing House which processes millions of interbank payments on a daily basis. It handles both RON and EUR transfers hence serving as the primary infrastructure for credit cards, debit cards and all sorts of SEPA complaint payments. 

How does SENT work?

1. Payment initiation takes place from online/ mobile banking or business ERP systems.

2. Clearing happens via SENT either in batch sessions or instantly for constituent banks. 
3. Settlement takes place through ReGIS (RON) or TARGET2 (EUR).

4. Funds are then credited to the recipient's account. 

These transactions are efficient for payroll, supplier settlements and recurring debits. They are comparatively cheaper than urgent wire transfers while also being secure through integrated fraud prevention tools like SANB or AliasPay for simplified payments. 

SEPA transfers in Romania

Although Romania doesn’t lie in the Eurozone, it fully participated in SEPA (Single Euro Payments Area). Key SEPA schemes in Romania include;

1. SEPA Credit Transfers (SCT) - Standard Euro Transfers across more than 36 SEPA countries.

2. SEPA Instant Credit Transfer (SCT Inst) - Realtime instant Euro payments which are settled within 10 seconds.

3. SEPA direct debit (SDD) - these are Euro based recurring collections.

For businesses with pan-european operations, leveraging SEPA instant ensures cash movement with speed and security. These transfers provide seamless Euro transactions at low cost. They enable faster supplier and customer payments across the EU empowering businesses and organisations in their day to day operations. 

Instant payments in Romania 

Romania launched Plăți Instant in 2019, which is operated by TRANSFOND and it enables real time transfers in RON enabled 24/7/365. Key features of these transactions include;

1. Under 10 sec processing time.

2. Round the clock availability across the year.

3. Transaction limits which are up to 10,000 RON outgoing with some banks with varying incoming caps.

4. These systems are adopted by almost all major banks like BCR, Banca Transilvania, Raiffeisen, ING, BRD, and more.

A new addition to this system is RoPay, launched in 2024, it was Romania’s first national mobile instant platform which allows users to make payments via QR codes, NFC/contactless transfers and phone numbers instead of IBANs. This makes the payments faster and secure for businesses and customers alike. 

Where are these developments headed?

For the upcoming years, it can be observed that important changes in payment ecosystem will shape the economy as the present rails expand and evolve;

1. Banks are moving towards full instant payment adoption across major institutions and rails.

2. RoPay coverage for retail and ecommerce is expanding.

3. Integration of SEPA instant for Euro cross border transactions is gaining better traction.

4. There is a growth of open banking use cases via API.

5. There are stronger fraud prevention tools being developed and tested across the Romanian payment rails. 

How can Businesses leverage Romanian payment rails 

For companies operating in Romania or partnering locally for cross border transfers, can use the following rails for their operational and financial benefits;

1. Use SENT for efficient batch payments like payrolls and supply chain payments.

2. Adopt instant payments via TransFi, Ropay or Plăți Instant for real time merchant and consumer transactions. 

3. Adopt SEPA instant for Euro transfers across Europe.

4. Integrate Mobile banking via mobile wallets and platforms for businesses involving direct payments via consumers.

5. Collaborate with Fintech partners like TransFi for cross border payment optimization and FX efficiency clubbed with security and cost effectiveness. 

Also read: Luxembourg’s Payment Rails & How They Work – SEPA, Digicash & The Banking Hub of Europe

For companies, financial institutions, payment service providers and fintechs looking ahead to leveraging the best of speed, transparency, cost effectiveness and blockchain technology, having the right infrastructure governing the payment ecosystem is a must. Partner with TransFi and grow along with the constant forces of global payments and stand strong on a fast paced economy like that of Poland.  

Frequently asked questions (FAQs)

1. What are SENT payments in Romania?

SENT, operated by TRANSFOUND, is Romania’s automated clearing House which processes millions of interbank payments on a daily basis.

2. What is Ropay?

RoPay, launched in 2024, is Romania’s first national mobile instant platform which allows users to make payments via QR codes, NFC/contactless transfers and phone numbers instead of IBANs. This makes the payments faster and secure for businesses and customers alike. 

3. How can TransFi help my business?

TransFi offers quick and accessible integrations with local payments rails, easy digital assets settlements and a worldview into currencies and payments methods used all across. TransFi is helping the many countries in the global realm embrace a better future with the ease of the best services and interface at power by connecting users with over 100+ currencies, 250+ local payment methods, and 80+ digital assets, giving both senders and receivers control, speed, and cost savings. 

4. How long do Instant payments take to settle?

Instant payments like TransFi, Ropay and Plăți Instant are settled within 10 seconds and are available 24/7/365.

5. What are SEPA transfers in Romania? 

For businesses with pan-european operations, leveraging SEPA instant ensures cash movement with speed and security. These transfers provide seamless Euro transactions at low cost among the participating countries. They enable faster supplier and customer payments across the EU empowering businesses and organisations in their day to day operations.