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The Reserve Bank has emphasised the importance of the NPP as a platform that could drive efficiency and innovation.
In her address to Seamless Payment 2018 on Tuesday (13 March), RBA assistant governor (financial system) Michele Bullock stressed the significance of the New Payments Platform (NPP), which will enable customers to send and receive funds in real time.
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Ms Bullock outlined the benefits of the NPP and sought to alleviate concerns over fraud risks associated with the real-time payment platform. Ms Bullock claimed that Australia’s NPP architecture was unique and noted that financial and non-financial institutions would draw from the experiences of foreign markets using a similar platform.
The assistant governor believes that the NPP would drive further innovation, and she urged the industry to embrace the platform.
“The NPP is an important piece of payments system infrastructure that will pave the way for further innovation in the payments system,” Ms Bullock said.
“[We] now have a world-class, fast payments system that I encourage the industry to embrace and create valuable services for their customers.”
Ms Bullock noted that as consumers adjust to the fast payments system, it would provide “great value” to consumers and businesses alike.
“It will take some time for people to become familiar with the new system — people are typically quite set in their payment habits,” the assistant governor added.
“[As] more financial institutions offer fast payments and the reach of the system grows, it provides greater value to both individuals and businesses.”
[Related: Non-bank lender says NPP will be ‘transformative’ for SMEs]
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