The European Cards Stakeholders Group (ECSG), the industry association in charge of cards standardization in SEPA, released the latest version of its standards Volume (version 8.0) in March 2017. The industry body is formed by representatives of five sectors of the card payments value chain: retailers and wholesalers, vendors (of IT, card and payment devices), processors of card transactions, card schemes, and PSPs. The EPC is also an active member. Stakeholders were invited to meet its requirements by March 2020 with the exception of those requirements related to the IFR, which applied immediately. Amended rule books for SCT, SCT Inst, SEPA direct debit (SDD), and SDD B2B were released in September 2017, and were required to be fully implemented by November 2017.
Traditional banks must evaluate their place within the payments ecosystem and be open to partnering with FinTechs and third-party developers to drive value collaboratively.
Structural changes are spurring payments industry participants to evaluate the future of the business as well as their role in the months and years ahead.
The Payment Services Directive 2 or PSD2 has been in full force for more than six months, and its impact is being felt not just in the European Union, but across the globe – with several markets, such as Singapore, Australia, and Nigeria, as well as Hong Kong announcing open banking initiatives inspired by the PSD2