Ireland lags the rest of Europe in payments, therefore the central bank of Ireland adopts a new plan.

A new multi-year payments strategy has been unveiled by the Central Bank of Ireland in response to worries that banks are not taking advantage of the opportunities that quick payments bring.

Madilyn Swift

March 05, 2024

1Min Read

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Payments

Speaking at the BPFI National Payments Conference, Vasileios Madouros, deputy governor of the Central Bank of Ireland, notes that although there have been significant advancements in domestic payments since the last National Payments Plan, which was implemented a little over ten years ago, there are still significant areas in which Ireland is still falling behind.

"Consumers having greater access to payment solutions is dependent on the market grasping the opportunities available," according to him. "Material providers of payment accounts in Ireland have not adopted the immediate payments infrastructure, even though it has been accessible since 2017. Customers and companies will not be satisfied with this result.

A fast evolving payments landscape overtook Irish banks' attempt last year to develop their own mobile app, which would have provided merchants with instantaneous account-to-account transfers for point-of-sale and e-commerce transactions.

The Central Bank has suggested four high-level priorities through the end of 2030 in order to combat lethargy.

In the first of these, banks are urged to make sure that Irish small businesses and consumers profit from payment innovations that are available throughout Europe and that, to the extent feasible, emerging payment solutions are integrated into Europe and compatible with other important markets.

Cash should be protected as a payment option for both customers and companies, while also continuing to be widely accessible and accepted.

The remaining two priorities center on preserving payments' security and resilience as well as integrating analytical and research findings to guide future policy choices.

"Many of the benefits of technology in relation to payments for domestic consumers and the broader economy remain untapped," concludes DG Madouros. In the framework of Europe, the National Payments Strategy presents a chance to adopt a longer-term perspective and create a cogent, system-wide approach to the future development of payments in Ireland."