NextGen Nordics, Finextra’s annual payments event, commenced on April 23, 2024, in Stockholm, Sweden, gathering a diverse group of experts and leaders from the Nordic payments industry.
The conference focused on the evolution of payments infrastructure in the Nordics, which has been a catalyst for digital innovation and growth. It began with an opening speech from Finextra’s head of research, Gary Wright, followed by a keynote presentation by Camilla Akerman, secretary general of the Nordic Payments Council (NPC).
Wright emphasized Finextra Research’s commitment to fostering a collaborative dialogue within the industry and announced plans for an AI conference later this year to explore the long-term potential of AI in financial services. He also revealed the upcoming launch of Finextra Inc. in the USA, aimed at enhancing coverage of the US market, with head of content Madhvi Mavadiya taking on the role of VP of the new company.
He remarked, “North America is not bound by the same level of regulation and legislation that we face in Europe, yet they adopt the best practices that emerge from this environment to apply them within the extensive markets of the US and Canada. Establishing a presence there allows us to understand the nuances and engage in critical global and regional discussions.”
Wright highlighted the core values of efficiency, security, and sustainability within the Nordic payments landscape and noted that the conference provides an opportunity to reflect on the past, referencing last year’s significant topic—the challenges faced by the P27 initiative.
In her keynote address, Akerman presented the NPC as a collaborative body uniting payments associations from Sweden, Denmark, Norway, and Finland to enhance the region’s payments infrastructure and standardize transaction processes.
She stressed that modernizing payments infrastructure can lead to enhanced efficiency and improved data quality, while harmonizing standards across the Nordic countries will facilitate interoperability and innovation. Governance frameworks such as SEPA and ISO20022 serve to create a structured information exchange for payment transactions that supports this interoperability.
Akerman also discussed lessons learned from the P27 Nordic Payments initiative, noting that overambitious project scopes, disorganized task prioritization, and the need for clearer regulatory guidance and compliance navigation significantly impacted delivery timelines. She conveyed that while there is still work ahead, the industry is now better informed about past missteps.
“We are witnessing significant developments with the central banks of Sweden and Denmark set to implement the TIPS system—the TARGET Instant Payment Settlement system, which is currently utilized for basic instant payments and will soon be mandatory for banks. The first transaction under one of the NPC schemes is expected to occur in November this year,” Akerman announced.
She concluded by highlighting the efforts of new payment infrastructure organizations dedicated to revolutionizing instant payments in the Nordics, operating according to the NPC rulebook and striving for a standardized payments region united in mission and values.