The views expressed in this article are solely those of the author and should not be attributed to the European Payments Council.

Gijs Boudewijn became the new Chair of the European Payments Council (EPC) this month. With a long-standing background in payments and a clear focus on strengthening European cooperation, he brings a strong sense of purpose to the role. In this interview, Gijs outlines his vision for the future of European payments, reflects on current challenges and opportunities, and explains why now is the time to work towards a more integrated and resilient ecosystem.

As the new Chair of the EPC, what is your vision for the future of European payments?

I believe the geopolitical dynamics we are experiencing are extremely challenging on multiple fronts, including European payment solutions. For many years now, the European Central Bank (ECB) and the European Commission (EC) have been calling on the payments industry to develop ‘homegrown’ solutions to decrease our dependency on non-European solutions. The industry has responded with initiatives such as the European Payments Initiative (EPI) and Wero, the EuroPA interoperability solution, and others. One should remember that from the end-user perspective, there is no market failure since customers are well served with innovative payments solutions. Developing new pan-European solutions is complex, costly, and takes a long and sustained effort. There is also a possible digital euro on the horizon, which will have to fit into the payments ecosystem. I believe the sense of urgency sparked by the current situation has created the opportunity to take unprecedented measures to intensify pan-European cooperation both within the industry and between the industry and the public sector. 

A new public–private partnership under the right leadership could potentially deliver what I would call the Single Euro Payments Area (SEPA) 2.0. I realise that sounds ambitious, but we should be ambitious.

What do you consider to be the main challenges currently facing the European payments landscape?

We must act now. We have said that many times over the years, but now we really have to get our act together. We find ourselves in a perfect storm. It will require new leadership in a real and robust private–public partnership that has the power to align and unite the industry, bridge and reconcile all the different European solutions already out there, create the right regulatory environment, and deliver a common roadmap that leads us all to SEPA 2.0. Those old enough to remember the Crowne Plaza declaration at the beginning of the millennium which led to the creation of SEPA will know what I mean. 

In your opinion, what progress has been made in digital payments across Europe and what should we prioritise?

The European payments market is extremely innovative and – I truly believe – a frontrunner with good and efficient payment solutions across all use cases. 

Of course, internationally there is much acclaim for systems like Pix in Brazil and UPI in India. However, we should realise that those solutions are growing in huge, underserved markets and are often more or less mandated by the central bank or government. In Europe, the Verification of Payee (VOP), instant payments regulation, the European Digital Identity Regulation (EUDI) wallet, open banking schemes such as the EPC's SEPA Payment Account Access (SPAA), complemented by the EPC SEPA Request to Pay (SRTP) scheme provide the basic components for further innovation. That's why I believe that the priority should not be to invent totally new solutions but instead to unite and integrate all the innovative and successful solutions we already have, such as Bizum, Blik, iDEAL/Wero, MBway, and many others. And possibly – who knows? – also finally creating a true SEPA for cards. 

Looking ahead, how do you see the European payments landscape evolving, and what role do you plan to play in shaping that future?

My motto for many years has been “Let’s make European payments great again”. It motivated me to apply to be EPC Chair. 

In my view, the unique, independent, and neutral position of the EPC will potentially make it one of the cornerstones for further harmonisation and integration – in other words, helping create SEPA 2.0, which would become the fertile soil in which innovation and competition could thrive. 

The EPC’s role is to serve the collective ecosystem with a great team of experts. Of course, the EPC have to accept policy decisions made elsewhere, but I am quite confident those decision-makers will appreciate the crucial connecting and expert role the EPC has played before and hopefully will continue to play in the years to come. My first task is to help define the EPC's strategy with the board and members in a constructive dialogue with the stakeholders. We have to set the right course to navigate the EPC through the perfect storm in payments.