Modernised Payment Infrastructure Could Save Irish Economy €420m or 0.3% of GNP
Fecha Martes, agosto 19 @ 10:40:43
Tema Pago Electrónico :: e-Payment
| - according to ISC Report Ireland has the highest levels of cheque and cash usage in the EU
A new report produced today by the Information Society Commission (ISC) conservatively estimates that a more coordinated approach to payments infrastructure could deliver annual cost savings to the economy of up to €420m per annum - approximating to a 0.3 per cent lift to GNP. The new study, prepared by Accenture, points to a strong economic rationale for a cohesive Government strategy to coordinate the delivery of a world-class payments environment in Ireland. The report argues that the development of a coordinated strategy could, with the minimum of investment, generate significant shared cost savings across the Banking , Corporate, SME and Government sectors.
The report highlights Ireland's position having the highest levels of cheque payments and cash usage in the EU. Cheque payments in Ireland represent 56% of total cashless transactions by value, or 33% by volume. This compares with EU averages of 7% and 16% respectively. And cash in circulation outside of the credit institutions in Ireland accounts for as much as 22% of the money supply here compared to an EU average of 10.9%, and only 5% in the UK.
The report argues strongly that the development of a robust and ubiquitous e-enabled payment infrastructure would strengthen the quality and sophistication of the micro-economic business environment and deliver a significant contribution to national competitiveness objectives.
"This is a win-win proposition for Government," according to ISC Chairman Dr Danny O'Hare. "The development of a coordinated payments strategy requires no substantial investments beyond those already underway, and will deliver significant efficiency gains across the whole economy, while leading to enhanced quality and choice of service for consumers. The key challenge for Government is therefore one of leadership," said Dr O'Hare.
The immediate challenge the report identifies for Government is the development of an appropriate engagement model that will secure the commitment of all key stakeholders to a common vision. The ISC is calling on Government to:
+Take a forward-looking view on the delivery of a world-class payments environment as source of innovation-led competitive advantage
+Quickly establish a point of ownership within Government for taking this agenda forward and aligning strategic objectives
+Ensure that this point of ownership is closely aligned with policy responsibility for financial regulation, the banking sector, and public sector financial management systems
+Engage quickly with the key stakeholders in the public and private sectors to develop a shared strategy, including the development of an appropriate governance model and a roadmap for moving forward.
The ISC is highlighting the following key opportunities that can build from Government developing the right strategy:
+Migrating Government payments and receipts away from paper-based processes, in partnership with the banking sector, leading to improved cost-efficiency and enhanced quality of service to business and the general public
+Extending this capacity developed between Government and the banking sector to the wider business-to-business payments market, supporting lower payment processing costs across the entire economy
+Developing a standardised payment infrastructure to support enhanced competition in the market for payments services
+Resolving the 'unbanked' issue through the development of a cost-efficient payments infrastructure
+Developing a key infrastructure component to underpin e-enablement of the economy in support of overall Information Society and national competitiveness objectives.
The ISC argues that there is a requirement for Government to act now to avail of a window of opportunity that exists to align a number of payment-related infrastructure initiatives currently underway to a common strategic vision. The report also draws Government's attention to the high level of interest among stakeholders at present in actively engaging with Government to agree a roadmap for the future.
| Este artículo proviene de Kalysis Community
https://kalysis.com/content
El URL de esta nota es:
https://kalysis.com/content/article.php?sid=382
English Translation |
|
|