| Author (Corporate) | Council of the European Union, European Parliament |
|---|---|
| Series Title | Official Journal of the European Union |
| Series Details | 2024/886 |
| Publication Date | 19/03/2024 |
| Content Type | Blog & Commentary, Legislation, News, Policy-making |
Summary:Regulation (EU) 2024/886 - adopted by the co-legislators on 13 March 2024 - introducing amendments to Regulation (EU) No 260/2012, Regulation (EU) 2021/1230, Directive 98/26/EC and Directive (EU) 2015/2366 to make instant payments in the Euro currency available to citizens and businesses holding a bank account in the European Union (EU) and in EEA countries. This is a text with EEA relevance. Further information:Instant payments (IPs) are a form of credit transfer whereby funds pass from the payer's account to the payee's in a matter of seconds, at any time and any day of the year. In the European Union (EU), the architecture for IPs in euro already exists. It comprises several payment systems offering instant settlement, and the Single Euro Payments Area (SEPA) instant credit transfer scheme launched in 2017 by the European Payments Council. Regulation (EU) No 260/2012 set out the rules and technical requirements for credit transfers and direct debit transactions in Euro within the SEPA . Regulation (EU) 2021/1230 codified the legislative framework on cross-border payments in the EU. The potential benefits of IPs to consumers and businesses in the EU have been impeded by the slow rollout and low uptake of IPs. In a Communication published in December 2018, the European Commission supported a fully integrated IP market in the EU, and in another Communication adopted in September 2020, it announced that it might propose legislation requiring payment service providers to offer IPs in euro by end-2021. In a Communication published in January 2021, the Commission reiterated the importance of its Retail Payments Strategy and of digital innovation in finance as a way of strengthening the single market for financial services. This Regulation makes instant payments fully available in Euro to consumers and businesses in the EU and in EEA countries. It includes a review clause with a requirement for the Commission to present a report containing an evaluation of the development of credit charges. The draft law was announced in the Commission's 2022 Work Programme. It was eventually adopted by the European Commission on 26 October 2022. The Council of the European Union adopted its general approach to the proposal on 22 May 2023. The plenary of the European Parliament endorsed a negotiating position on 12 July. An informal agreement between the co-legislators on a compromise text for this file was reached on 7 November. This was formally endorsed by the Parliament on 7 February 2024 and by the Council on 26 February. The Act was signed by the co-legislators on 13 March 2024 and published in the Official Journal on 19 March 2024. |
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| Source Link | Link to Main Source http://data.europa.eu/eli/reg/2024/886/oj |
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| Subject Categories | Economic and Financial Affairs, Internal Markets |
| Subject Tags | Financial Services |
| Keywords | Banks | Banking, Free Movement of Capital |
| International Organisations | European Union [EU] |
