UAE Mashreq and Citi Bank transact tokenized deposits using Swift Blockchain

UAE headquartered Mashreq Bank has carried out a live transaction using tokenized deposits with Citi using Swift’s blockchain ledger infrastructure, for cross border payments. Prior to Mashreq, First Abu Dhabi Bank (FAB), carried out its first live USD transaction using Swift’s Ledger a Minimum Viable Product, tokenized deposits on SWIFT ledger.

As per the announcement by connecting tokenized deposits with Swift’s trusted financial messaging infrastructure, the initiative is designed to reduce friction in international payments and has the potential to improve speed, liquidity efficiency and the movement of funds across markets.

The Swift ledger was designed by more than 40 financial institutions, with 17 banks piloting it for tokenised deposit transactions since Swift announced it was ready for use in July 2026. The Minimum Viable Product (MVP) phase of the ledger is focused on demonstrating 24/7 real-time cross-border payments.

For businesses and financial institutions, the initiative has the potential to unlock new efficiencies in liquidity management and treasury operations. By extending payment availability beyond traditional banking hours, businesses could gain greater flexibility in managing working capital, optimizing liquidity across regions, and responding more quickly to commercial opportunities.

Vivek Batra, Head of Global transaction Banking at Mashreq, emphasized the belief that the future of payments will be defined by greater speed, availability, and interoperability and will be delivered by trusted financial infrastructure.

He notes that the collaboration with Citi and Swift allows them to explore how next-generation payment capabilities can help clients move money more efficiently across markets and time zones while maintaining the security, resilience and governance standards that global finance depends on.

He adds, “As businesses increasingly operate in a digital, always-on economy, the demand for real-time movement of liquidity continues to grow. Participating in this initiative enables us to help shape the future of international payments and ensure our clients are well positioned to benefit from emerging innovations in the global financial ecosystem.”

Rizwan Shaikh, Head of Services for Middle East and Africa at Citi, added that with Mashreq, Citi is demonstrating what it means to be always on with interoperable cross border payments.

Citi recently announced that it was offering its tokenized deposits services in the UAE.