On April 3, the European Commission (Commission) launched targeted consultations on digital finance (Digital Finance Consultation) and retail payments (Retail Payments Consultation) and together with the Digital Finance Consultation (the Consultations).

The Digital Finance Consultation seeks views on the possible measures required to further enable innovative digital financial services in the European Union (EU), which includes the consideration of open finance, technology neutrality and possible competition issues with BigTech companies. The outcomes and findings of the Digital Finance Consultation will feed into and inform the Commission’s new digital finance strategy for the next five years. The Commission is due to propose such strategy in Q3 2020.

The Retail Payments Consultation seeks feedback for the forthcoming Retail Payments Strategy for the EU, which will also be adopted later this year. Its aim is to create an innovative, integrated and competitive retail payments sector for European consumers, which can also be used globally. The Commission believes that safe and efficient payment systems and services can also contribute to improving the EU’s ability to deal with emergencies, such as the COVID-19 pandemic.

The Consultations should assist the EU with its strategic vision to ensure that consumers and companies benefit from faster, more secure and convenient pan-European payment services in the future. By innovating in this sector, the EU could become a frontrunner in this field, and so these consultations should help the Commission strike the right balance between promoting innovation and properly managing risks to consumers and investors.

The deadline for responses to the Consultations is June 26.

The Digital Finance Consultation is available here, and the response to the Digital Finance Consultation is available here.

The Retail Payments Consultation is available here, and the response to the Retail Payments Consultation is available here.