We’ve been busy with the establishment of the new Payments NZ API Centre™ since our last update in April. While the centre continues to be an important part of our work, other initiatives are progressing and we’ve also been looking at the bigger picture for the future of payments. Find out more below.

API Centre update

Our API Centre has been gaining momentum since its launch in late May. We now have 17 registered Standards Users made up of 8 API providers ANZ, ASB, BNZ, Heartland, HSBC, Kiwibank, TSB and Westpac, and 9 third parties BE Software (BankEngine), Choice, Datacom, Mastercard, Merco, Mimaii, Paymark, Salect and Split Payments. We’ve also had a number of people who have joined the centre as Community Contributors.

The API Council, which is responsible for the day-to-day governance of the centre, has been fully established and held their first two meetings. These initial meetings have focused on getting the council up and running, and on how the work plan is shaping up in the short to medium term.

The API Centre Business and Technical Groups are also well underway, meeting fortnightly to ensure continued progress on the API Centre work plan. As part of that plan, the Technical Group has been drafting version 2.0 of our current API standards for Payment Initiation and Account Information. The API Business Group has been assisting with this work by providing business-level input into the design of version 2.0 as well as getting started on a range of other activities such as considering the business and operational implications of version 2.0, and the functional capability of the API Centre.

We’ll continue to progress our work programme for the API Centre over the coming months as well as determining the medium-term standards development pipeline. You can keep an eye on the API Centre website for updates and to see who’s recently joined. If you’d like to know more about the centre, get in touch by dropping us an email to [email protected]

Payments Direction update

While our focus area for the Payments Direction programme over the past year has been on the development and launch of the API Centre, we’ve kept our eye on strategic developments around the world and have continued to work with the industry to discuss strategic issues and opportunities. We’ve recently kicked off in-depth discussions with the industry to consider what’s next for Payments Direction, including our medium-term work programme, and longer-term future view. These discussions see representatives from across our Participant and Member base working together to help us build our work programme. We rely on this broad involvement to ensure we develop a well-rounded work programme that reflects the priorities of the industry.

In addition to these planning discussions, we’ve also been working on our 2019 Environmental Scan. We’ll be releasing this report over the coming weeks, so keep an eye on top reads. Later in the year we’ll be releasing a companion paper – Payments 2030, which is an updated future view report.

We encourage all Participant and Member organisations to get involved in our Payments Direction work. If you aren’t involved and would like to be, please get in touch with the Payments Direction team at [email protected] 

Management Committees update

Our clearing system Management Committees continue work to ensure our payment systems remain interoperable, innovative, safe, open and efficient. A focus for us this year has been on how to enhance the resiliency of New Zealand’s payments system.

As part of this essential work, we’ve updated the access requirements for our low volume Participants by providing flexibility about how they establish their secondary connection with their internet service provider. We’ve also been reviewing the testing requirements that ensure continued access to the payment system in the event of key infrastructure being unavailable to ensure they are easily understood and implemented.

The Bulk Electronic Clearing System (BECS) Management Committee has recently completed its investigation into enabling bulk electronic transactions (e.g. electronic credits and direct debits) to be made over weekends and public holidays – this initiative is known as SBI365. The BECS committee reviewed the size, complexity and risks associated with a potential significant change to the system. We’ll be announcing the outcome of this investigation in the coming months.

Our Consumer Electronic Clearing System (CECS) Management Committee continue to look into opportunities to enhance the resilience within the EFTPOS network, and ensure ongoing compliance with international standards for EFTPOS terminals.

Regulatory radar

On 1 August 2019, the Reserve Bank published the exposure draft of the Financial Market Infrastructures Bill. Submissions are called for by 26 September. This legislation would see the introduction of a new oversight regime for systemically important payment systems. We are in the course of preparing our submission on the exposure draft.

The Point 2020 is coming

We’re pleased to be bringing you our fifth biennial industry conference next year, The Point 2020, on 23–24 June in Auckland at the Cordis. We’ll be opening up registrations towards the end of the year for those that want a pre-Christmas special. In the meantime, make sure you save the conference dates in your calendar.

Preparation of the conference programme is underway and we’re looking for exceptional speakers and thought-provoking content. If you, or someone you know, has compelling views or case studies to share on hot topics or trends in payments, please register your interest by completing our speaking request form and emailing it back to our Events Manager, Liza Beach.

We also have sponsorship options for those interested in being part of The Point 2020 and you can contact Liza for more information on that too.

Our biennial industry conferences are insightful and engaging events. In 2018, we attracted over 350 delegates from over 110 different organisations over the two days. Check out the highlights from The Point 2018. We’re committed to delivering another outstanding conference experience in 2020 that you won’t want to miss.

Making connections

After a very successful API Centre launch in May, we’re looking forward to hosting the next edition of The Hub in October. Invites to this will go out soon.

We’re also continuing to get out and about, meeting and networking with the industry and wider ecosystem.

Our Chief Executive Steve Wiggins and various team members have been out speaking at various events, forums and conferences since the last update, such as the Financial Markets Law Conference, the Kiwibank Fintech Accelerator and the Future of Financial Services conference.

Here are some other events you’ll catch us speaking at in the next quarter:

  • 16 September:  Steve presenting to the Institute of Public Administration NZ’s Young Professional group in Auckland.
  • 17 September:  Steve is on a panel at an event hosted by MFAT and the Singapore Monetary Authority in Wellington.
  • 23 – 26 September:  Steve on a panel hosted by ACI Worldwide and is presenting at SWIFT’s Central Bank and payment system roundtable at SIBOS in London.
  • 6 – 7 November:  Steve presenting at the Chief Data & Analytics Officer New Zealand event in Auckland.
  • 13 – 14 November:  Jane Retimana, General Manager Strategy and Corporate Affairs speaking at the API Days conference in London.
  • 19 – 20 November:  Jane is on a panel at the Women in Payments Symposium in Sydney.
  • 4 – 5 December:  Steve speaking at the FDATA Global Open Finance Summit in Edinburgh.