Big banks are grappling with the challenges of innovating payment strategies while keeping pace with industry changes. During a panel at EBAday 2025, banking leaders discussed the steps incumbents are taking to transform payment services.
In the roundtable titled “Achieving New Levels of Excellence in Payments – Quick, Easy and Predictable,” Dave Birch, a Top 100 Global Fintech Influencer, led a discussion featuring Jean-François Mazure, global head of cash clearing services at Societe Generale, and Simon McConnell, managing director and global head of European clearing at Citi Services. They explored how to enhance payment products within banking.
McConnell highlighted the difficulties European financial institutions face, particularly in maintaining data consistency while balancing compliance with innovation. He emphasized that adhering to stringent regulations like ISO 20022 and SEPA poses significant challenges.
“It’s just a bit of software!” Birch quipped, to which McConnell replied that it involves various software systems across multiple institutions, complicating the situation.
Despite ongoing struggles to reach consensus on new data requirements, McConnell stressed the necessity of robust core data, stating, “One of the biggest challenges for us is addressing hygiene factors before diving into innovation.”
Mazure underscored the importance of balancing compliance and innovation, noting that banks profit from managing risks. He encouraged his teams to engage actively in early-stage business relationships and highlighted the need for focused resources amid numerous market opportunities.
Mazure likened financial institutions to cruise ships, where effective navigation hinges on the captain’s decisions and teamwork. He emphasized that senior support for ongoing investments is crucial, alongside a comprehensive understanding of the business across all levels.
When defining ‘excellence’ in payments, McConnell noted that there is no universal answer, as it varies based on market access and consumer behaviors. He cited his work in the clearing business, emphasizing the importance of timely payment processing.
Mazure added that users demand cost-effectiveness, speed, and transparency. McConnell echoed this, stating that transparency is vital for harmonizing cross-border transactions and facilitating access to data. He referenced a call to action for European banks to enhance openness in this area.
Mazure highlighted the substantial responsibility intermediary banks hold in managing payments, stressing the consequences of any failures in processing transactions. He emphasized that beyond cost and transparency, the ability to consistently deliver services is paramount.
As the discussion shifted to digital assets and blockchain, McConnell noted an increase in blockchain investment but acknowledged ongoing challenges in achieving widespread adoption. Mazure pointed out potential blockchain applications in internal banking processes, though he expressed skepticism about their immediate effects.