Wolfgang Ehrmann, chairman of the Euro Banking Association (EBA), opened EBAday 2025 at the Louvre in Paris with a welcome address, marking two significant anniversaries: the 20th EBAday and the 40th anniversary of the EBA. The event has grown to host over 1,400 experts.
Ehrmann highlighted that just as the Louvre’s infrastructure is vital for its masterpieces, the payments sector requires ongoing support and innovation. He noted that EBAday is an opportunity for future-oriented collaborations, emphasizing that “innovation doesn’t happen in a vacuum; each breakthrough builds on the previous ones.”
During the initial panels, industry leaders explored collaboration, embracing regulations, and leveraging payment technologies. They underscored the necessity for proactive engagement from financial institutions with regulators.
Geopolitical Risks as a Challenge for Banks
In the first conference session, Olivier Denecker moderated a CEO roundtable featuring leaders from major banking institutions. He noted the fintech sector, valued at $2.5 trillion and growing steadily, faces new challenges such as regulatory complexities and geopolitical conflicts.
Hays Littlejohn expressed optimism for the payments industry, particularly in instant payments, noting that “instant will become the new normal.” However, he cautioned against excessive regulation, using ISO20022 as an example of how regulation can drive growth but may also induce compliance fatigue.
Christian Rhino acknowledged the shift from cash to digital payments and stressed the importance of proactive regulatory collaboration.
Denecker polled the audience about future industry challenges; the most significant concern identified was geopolitical issues and de-globalization, followed closely by cybersecurity.
David Watson remarked on how rapid geopolitical changes have accelerated payment growth, especially in US dollars. He noted the coexistence of localization and globalization as creating unique opportunities within the payments landscape.
Rhino reinforced the need for a unified global approach to combat cybersecurity threats, emphasizing the importance of a cooperative digital network.
Watson pointed out the fragmentation in how payments are processed globally, highlighting inconsistencies in regulatory frameworks between Europe and the US. He praised European initiatives like instant payments while suggesting more proactive legislative efforts in Europe.
As the panel concluded, Denecker inquired about the audience’s priorities for the next few years, with compliance and regulation at the forefront, followed by innovation in products and value propositions.
Collaborative Innovations Shaping European Payments
In a subsequent session moderated by Chris Skinner, industry leaders discussed the role of cross-sector collaboration in transforming payments. Gayathri Vasudev emphasized that regulatory action has been crucial for the adoption of innovations like instant payments.
Marc Recker compared Europe’s progress with Southeast Asia’s rapidly advancing payment systems, which benefit from supportive regulators.
Recker called for standardization efforts from SWIFT and the EBA, suggesting that a collaborative approach among motivated banks is essential for driving innovation.
Vasudev noted technology’s role as a growth engine, referencing JPMorgan’s investments in blockchain while addressing the bank’s stance on cryptocurrencies. She clarified that, although they don’t use specific cryptocurrencies, they leverage blockchain technology.
Recker remarked that while blockchain isn’t necessarily required for instant payments, it could address challenges in asset management and cost reduction, indicating that its potential is still being realized.