Page 20 - ITU-T Focus Group Digital Financial Services – Recommendations

ITU-T Focus Group Digital Financial Services
Recommendations

Title of recommendation Role of authorities in interoperability
Working Group Interoperability

Audience for recommendation Authorities

Authorities should publicly disclose interoperability strategies and policies. The lead role in DFS interoperabil-
ity should be played by the financial regulator. In doing so, the financial regulator should cooperate with other
authorities as needed.

Policies that promote/favor interoperability should be clearly stated in order to provide guidance to the
industry and other market participants. Having stated clearly their policies concerning interoperability,
authorities should engage market participants, in order to catalyze market participants’ discussions and turn
policies into reality. Engagement should be in the development of the policies and on an ongoing basis as soon
as policies are published. This should allow market participants to internalize the policies into their goals and
develop the best way to realize these policies by implementing interoperability.
DFS interoperability will require strong cooperation between relevant authorities. As DFS interoperability
involves several related dimensions (including legal, financial, operational, technical, procedural, and business
aspects), different institutions bearing oversight, supervisory, and regulatory responsibilities – not just in the
financial area – may need to be involved (on a regular or an ad hoc basis) to make sure that interoperability
is established and sustained in a way that is consistent with overall payment system efficiency and safety.
Authorities should cooperate with each other, both domestically and internationally, as needed, with a view to
fostering efficient and effective communication and consultation in order to support each other in fulfilling their
respective mandates. Cooperation needs to be effective in normal circumstances and should be adequately
flexible to facilitate communication, consultation, or coordination, as appropriate, especially during crisis
situations.

The role of different authorities when it comes to interoperability should ideally be clarified and agreed
upon, e.g. in form of a memorandum of understanding. Central banks are heavily involved in the operation,
regulation and oversight, and reforming of payment systems as operators, overseers and regulators and
facilitators/catalysts. Telecom regulators may play a role as regulators for certain specific components and/or
participants of the national payments system, though they will not normally have primary responsibility for
payments or the payment systems as such.

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