The Payments Innovation Jury, which was established in 2008 and conducts biannual reviews of what’s coming in payments at a global and regional level, released its latest report, Payment Innovation: Myths and Realities. The Jury is made up of 79 payments executives across the globe and gains support from the World Bank and a couple of other private organizations.
To provide a more comprehensive view, a considerable number of senior regulators and investors were asked to participate for the first time since the launch of the organization. They were joined by national payment companies, fintechs, banks, and payments policies bodies.
The report summarizes the latest output from this group, which covers a number of topics, including BaaS and CBDCs, both of which we cover in member research, as well as these here. It also explores the topic of payments innovation—where the current focus lies and what’s driving it.
In the case of BaaS it seems that the jury is split on specific benefits for banks since fintechs are out in front on this new type of platform delivery. We have stated before that it’s a necessary direction and that collaboration is the likely method.
As for the topic of CBDCs, the jury agrees that they will be here, but is doubtful as to the market demand and ultimate benefits for the industry and end users. There are various other things covered in the source paper, such as buy now, pay later (BNPL), A2A, mobile, cryptos and so forth, so readers are encouraged to click through and read as per interest levels.
Overview by Steve Murphy, Director, Commercial and Enterprise Payments Advisory Service at Mercator Advisory Group.