Skip to main content

Instant Payments Regulation: Council and Parliament reach provisional agreement

In a monumental development for the European payments landscape, a recent agreement supported by the European Payments Council (EPC) and the European Central Bank (ECB) aims to significantly enhance the accessibility of instant euro payments. This strategic move signifies a commitment to cultivating quicker, more efficient, and universally available payment services across the European Union (EU), propelling the region toward a seamless and user-friendly payment environment.

The agreement's core focus is on expanding the availability of instant euro payments, enabling nearly instantaneous transfers between bank accounts 24/7, 365 days a year. Although such instant payment services are presently limited to select EU nations, the objective is to extend this accessibility to individuals and businesses throughout the entire EU.

The advantages of heightened accessibility to instant payments are manifold for consumers and businesses alike. Individuals can enjoy expedited and more convenient transactions, eliminating the delays associated with traditional payment methods. For businesses, particularly those in e-commerce and service provision, benefits include improved cash flow, reduced settlement times, and increased customer satisfaction.

A pivotal goal of this agreement is to champion financial inclusion, ensuring that every individual, regardless of location or financial institution, has access to instant payment services. This aligns with the EU's commitment to fostering an inclusive digital economy, promoting participation, and harnessing the benefits of modern financial services.

Achieving this ambitious goal requires collaborative efforts among banks, payment service providers, and other stakeholders. The agreement encourages joint endeavors among diverse financial institutions to establish a unified framework for instant payments across the EU, enabling interoperability and streamlining transactions.

Integral to this initiative, the ECB and national regulatory bodies will play a crucial role in supporting implementation and oversight. Their responsibilities encompass ensuring compliance with relevant regulations, monitoring progress, and addressing potential challenges during implementation. This regulatory backing instills confidence and stability into the evolving instant payment landscape.

The recent agreement on more accessible instant euro payments marks a significant leap in the EU's pursuit of a modern and efficient payment landscape. By expanding instant payment availability, both consumers and businesses stand to gain from expedited, convenient, and inclusive payment services. This development aligns with the EU's vision of a digital economy that empowers individuals and propels economic growth. Through collaboration, harmonization, and regulatory oversight, the EU takes a substantial step toward a future where instant payments become the norm, revolutionizing financial interactions and transactions.

For inquiries please contact:

RBI Regulatory Advisory

Raiffeisen Bank International AG | Member of RBI Group | Am Stadtpark 9, 1030 Vienna, Austria  | Tel: +43 1 71707 - 5923