TARGET2

TARGET2 is a payment system used by countries in the Eurozone to process transactions between banks quickly and securely. It allows banks to transfer money in real-time, enabling smooth and efficient financial operations across borders. TARGET2 stands for "Trans-European Automated Real-time Gross Settlement Express Transfer System." It is crucial for the functioning of the Euro currency, ensuring that money flows seamlessly between different countries, helping maintain economic stability and trust in the banking system. In essence, it facilitates day-to-day banking transactions, helping businesses and individuals operate effectively in the European monetary union.