European Central Bank needs to play a bigger role in advancing instant payment services

Executive Committee of the European Central Bank (ECB) Morsch said Europe needs a wide-ranging, inexpensive and instant retail payment system to stop foreign rivals from occupying the market, and the ECB should consider playing a bigger role in this area.

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From mobile payment services to point-of-sale terminal payments, instant payment systems have long been used, But most have geographical limits, making PayPal and big American technology companies dominate the market.

“European payment service providers need to start providing instant payment services to their customers and need to act as quickly as possible,” Morsch said at a meeting in Riga.

“In order to promote a smooth and efficient payment system within the euro area to meet our responsibilities, We may have to consider whether there is a need for wider access to central bank accounts for retail purposes, “he said.

Mr Morsch also argues that such systems will only be effective if they deliver europe-wide payment services that are instant, affordable and not limited to a specific group of customers.

PayPal currently dominates the online payment market in Europe,But Google, Apple, Facebook, Amazon, and the US and Chinese tech giants, such as Alibaba and Tencent, also share the European market.

Source: Reuters