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Construction of the Real-Time Rail (RTR) system by Payments Canada reportedly stands at a 60% completion rate.

Real-Time Rail (RTR) technical construction, as overseen by Payments Canada, has progressed to 60% completion across all aspects and remains on schedule for completion in the third quarter of 2025, as originally planned.

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Construction of RTR's technical foundation, as per Payments Canada, stands at a solid 60%...
Construction of RTR's technical foundation, as per Payments Canada, stands at a solid 60% completion.

Construction of the Real-Time Rail (RTR) system by Payments Canada reportedly stands at a 60% completion rate.

Real-Time Rail (RTR) Project by Payments Canada Nears Completion

After several years of development, the Real-Time Rail (RTR) project by Payments Canada is nearing completion. The technical build phase, which started in earnest in 2023, has now been completed as of July 2025[1][2]. This marks an important milestone in the project's timeline, paving the way for a year-long testing phase throughout 2026[1][2].

The technical build phase has seen the construction of the new payment rail infrastructure, including the real-time clearing and settlement application, the re-platforming of the real-time exchange, technical preparations for the conversion to the real-time clearing and settlement system, and the fraud foundational build[3].

Following the technical build, RTR will enter a comprehensive testing phase. This testing period is intended to validate the rail’s performance, security, and integration readiness before going live[1][2]. The testing will include internal technical testing, which is on track to complete in Q3 of 2025[1].

In addition to the technical development, there is a focus on a fraud foundational build and enhancement of anti-fraud capabilities. This will enable better fraud analytics and security measures within the RTR environment[2][4]. The new national RTR fraud services include a fraud transaction score, a fraud reporting and intelligence platform, a risk list for accounts with prior fraud reports, and a national Confirmation of Payee capability[1].

The RTR uses the ISO 20022 messaging standard, enabling richer data sharing such as invoice numbers and structured remittance references. This standard supports value-added services embedded in payment flows[2][4]. This open-access design broadens participation beyond traditional banks, expected to reshape Canada's competitive payments landscape by allowing fintechs and other non-bank entities to join directly[2].

Industry impact assessments express a strong consensus among business leaders (64%) that RTR, along with open banking and digital identities, is fundamental to building a resilient, competitive, and inclusive Canadian economy[1]. The significance of RTR lies in addressing outdated batch payment delays, reducing credit and liquidity risks from slow processes, and fostering innovation by enabling real-time payments, improving operational and systemic risk management[1].

The RTR allows member participants to connect directly to the RTR exchange, connect through a connection service provider, or leverage a third-party exchange. Member participants have the option to use their own Bank of Canada settlement account and participate as direct clearers, or choose to clear and settle indirectly via a settlement agent[2].

Joint workshops are being conducted with the industry as part of the impact assessment. The aim is to understand the technical and operational changes for each member participant and the onboarding and readiness activities needed for new member participants[3].

In summary, the current status is technical build completion and imminent testing; the timeline positions full deployment beyond 2026 after successful testing, with an overall industry momentum pushing for expedited rollout to realize broad economic benefits[1][2][4]. The RTR project is considered a critical infrastructure upgrade that will modernize Canadian payment rails to meet future needs of speed, security, and inclusivity.

[1] Payments Canada. (2025). Real-Time Rail - Project Updates. Retrieved from https://www.payments.ca/en/our-work/real-time-rail/project-updates

[2] Payments Canada. (2024). Real-Time Rail - Roadmap. Retrieved from https://www.payments.ca/en/our-work/real-time-rail/roadmap

[3] Payments Canada. (2025). Real-Time Rail - Industry Impact Assessment. Retrieved from https://www.payments.ca/en/our-work/real-time-rail/industry-impact-assessment

[4] Payments Canada. (2025). Real-Time Rail - Fraud. Retrieved from https://www.payments.ca/en/our-work/real-time-rail/fraud

  1. With the completed technical build, the Real-Time Rail (RTR) project by Payments Canada is preparing for a year-long testing phase in 2026, focusing on validating the rail's performance, security, and integration readiness before it goes live.
  2. The testing phase will also involve a fraud foundational build and enhancement of anti-fraud capabilities, enabling better fraud analytics and security measures within the RTR environment.
  3. The RTR's use of the ISO 20022 messaging standard supports value-added services embedded in payment flows, broadening participation beyond traditional banks by allowing fintechs and other non-bank entities to join directly.
  4. Industry leaders recognize the RTR, along with open banking and digital identities, as crucial for building a resilient, competitive, and inclusive Canadian economy, addressing outdated batch payment delays, reducing credit and liquidity risks, and fostering innovation by enabling real-time payments.

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