The European Central Bank (ECB) is weighing the possibility of using instant payments as an opportunity to link up national card schemes.
In a presentation at the American European Community Association, ECB executive board member Yves Mersch said that a true Singe Euro Payment Area (Sepa) for cards has not been implemented in Europe.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Cardholders are barred from using their national payment cards to make payments across Europe unless validated by a global card payment scheme. Currently this is dominated by Visa and Mastercard.
“Efforts to ensure the interoperability of schemes should be strengthened and should aim to foster a European identity, for example by using a common European logo to show users that their cards can be used across the EU,” Mersch noted.
Mersch also believes that instant payments at the point-of-sale could prove to be a more feasible option altogether.
According to Mersch, this will prove to be cost-efficient compared to cards.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataCommenting on the issue, Mersch stated: “The industry sees the implementation of a European infrastructure for instant payments as an opportunity to instantly clear and settle card transactions, which would offer a possible way of supporting the interlinking and interoperability of national card schemes.
“Efforts to ensure the interoperability of schemes should be strengthened and should aim to foster a European identity, for example by using a common European logo to show users that their cards can be used across the EU.”
