The paper says New Zealand\u2019s payments system remained reliable for many users, but was increasingly falling behind global standards, with structural issues also slowing further modernisation.<\/p>\n
It says reform of the system could benefit consumers by providing convenience and choice of payment methods, and access to modern features such as instant payments, request-to-pay and QR codes.<\/p>\n
Any reform could also provide better protection against scams and fraud, according to the bank.<\/p>\n
The issues paper notes performance and capability gaps, including a reliance on legacy platforms, are restricting competition and innovation.<\/p>\n
It says the payments system also lacks modern features seen in other set-ups around the world and not having a domestic system poses risks to the country\u2019s economic resilience.<\/p>\n
New Zealand\u2019s banks and financial institutions have drawn criticism in recent years from organisations such as Consumer NZ for not moving quickly enough to enable open banking, which allows third-party apps to use people\u2019s banking data for bank-to-bank payment transfers.<\/p>\n
The report also identifies a lack of leadership on the payments issue, saying no entity has a strategic mandate to provide system-wide leadership.<\/p>\n
The Reserve Bank is now inviting submissions on the issues paper and possible changes to the system.<\/p>\n
This will include looking at the technical and platform requirements needed to modernise the payments infrastructure, as well as what leadership changes are required across the sector.<\/p>\n
The work is being done with the support of the Finance Minister.<\/p>\n","protected":false},"excerpt":{"rendered":"The paper says New Zealand\u2019s payments system remained reliable for many users, but was increasingly falling behind global…\n","protected":false},"author":2,"featured_media":572406,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[19838,8613,11231,138,3595,55800,124,40922,219,25090,111,139,69,1653,644,6211,61,810,379],"class_list":["post-572405","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-19838","tag-billion","tag-boost","tag-business","tag-by","tag-corin","tag-could","tag-dann","tag-economy","tag-modernising","tag-new-zealand","tag-newzealand","tag-nz","tag-payments","tag-retail","tag-system","tag-to","tag-up","tag-year"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/572405","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=572405"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/572405\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/572406"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=572405"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=572405"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=572405"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}