Speakers from across the Canadian payment ecosystem took part in a panel at Open Banking Expo Canada to discuss the legislative changes and technological advancements shaping payments.
The panel debate, titled ‘Payments Modernization: Forging Ahead with Canada’s Pathway’, opened with a discussion on the recent legislative updates, including the Retail Payment Activities Act (RPAA) and amendments to the Canadian Payments Act (CP Act).
Moderated by Robyn King, director of industry relations at Payments Canada, the panel included Brigit Carroll policy lead, North America at Wise, Susan Hawkins, head, global enterprise payments at TD Bank and Kartik Kamat, vice president, payments, analytics and fraud at EQ Bank.
Jacqueline Shinfield, partner, Toronto at Blake, Cassels & Graydon LLP highlighted that these changes signify a robust regulatory framework, essential for a secure and efficient payments system.
The RPAA will regulate payment service providers (PSPs), enabling them to join Payments Canada and participate directly in payment systems.
The integration of the Real-Time Rail (RTR) was another focal point. The RTR, designed to facilitate instant payments, is poised to revolutionize the Canadian payments landscape by enabling faster, more efficient transactions.
Wise’s Carroll emphasized the benefits of the new regulatory environment, particularly for cross-border payments. Direct integration with domestic payment rails is expected to reduce costs and increase transaction speeds.
Kamat echoed this sentiment, underscoring the potential for increased competition and innovation in the financial services sector.
Geetika Tiwari, business director, enterprise payments transformation at CIBC, and TD Bank’s Hawkins provided insights from international markets. Tiwari pointed to the UK’s Faster Payment System and India’s Unified Payments Interface (UPI) as models that Canada can learn from.
Hawkins stressed the importance of patience and collaboration, noting that while adoption may take time, the long-term benefits are substantial.
The panellists also addressed the critical issue of fraud prevention in the context of real-time payments. Hawkins and Tiwari highlighted the need for a “Team Canada” approach to risk management, ensuring robust fraud detection systems are in place. Kamat discussed EQ Bank’s investments in AI and machine learning to enhance fraud mitigation strategies.
