Report Identifies Goals For Efficiency In Payments Market
A new report has highlighted a catalogue of ways in which central banks could improve their payments infrastructure. Published by the Committee on Payment and Settlement Systems (CPSS): Policy issues for central banks in retail payments, identifies current trends in the markets for consumer and lower-value commercial payments and explores related policy issues for central banks. It puts forward four public policy goals for maintaining and promoting efficiency and safety in these markets, relating to the legal and regulatory framework, market structure and performance, standards and infrastructure and central bank services. Furthermore, it considers the contribution of central banks towards furthering these goals and identifies a range of possible actions. Recommended minimum actions emphasise the importance of market monitoring and of a cooperative and advisory approach by central banks towards both private and public sectors. The importance of the efficient and safe use of money as a medium of exchange in retail transactions is highlighted by the report as an essential function of the currency upon which people’s trust is based.