The Central Bank of the Republic of San Marino announces the launch of a public consultation procedure on the following draft Regulation:
Regulation of payment services and issuance of electronic money (payment institutions and IMEL)
which will fully replace the existing regulation under the current Regulation No. 2014-04.
This measure aims to implement the Delegated Decree No. 177 of December 28, 2018, adopted in transposition of the so-called “PSD2,” namely Directive (EU) 2015/2366, which replaced (and repealed) the previous Payment Services Directive 2007/64/EC. As is widely known, PSD2 was primarily driven by the need to regulate new payment services, referred to as digital payments, meaning electronic payments made through online applications or apps, ensuring greater transparency, protection, and security for such transactions, which are increasingly demanded and utilized by customers. PSD2 has thus introduced the concept of Open Banking, requiring banks to share customer data and information with Third-Party Payment Providers (TPPs) upon explicit request. The new regulations, together with the new regulated payment services (payment order initiation service and account information service), aim to foster digital innovation in the banking sector, particularly in payments. The expected benefits for customers include reduced costs and faster execution times. These changes firmly establish the principle that account information is owned and controlled by customers, rather than the banks or payment institutions where the accounts are held.
Additionally, the protection of users of payment services is enhanced in terms of fairness and transparency, while also increasing the security of electronic payment services (known as Strong Customer Authentication or SCA). The establishment of a new Public Register of Payment Service Providers (PSPs) operating in the Republic of San Marino will also be implemented by this institution.
Contributions to the consultation may be sent to the following email address:
dipartimento.vigilanza@bcsm.sm
Please use the subject line "Consultation PSD2 Regulation."
The consultation will end on November 13, 2020.