Worldline - Registration Document 2016

Business Regulation

North America

Europe & U.K.

North America

Europe & U.K.

KRIIs

APAC

KRIIs

APAC

s AML/ATF 4 th Directive s Bank Payment Obligation s BSA/AML Guidelines for Prepaid Products in the U.S. s CPSS IOSCO s EMV Adoption s Financial Transaction Tax s Internet Payment Security s Intraday Liquidity Norms and Reporting s Mobile Payments Security in Euro s Stored Value Facilities Ordinance in Hong Kong s Virtual Currency/Distributed Ledger Regulations s Access to Clearing s Data Privacy and Protection including Cyber Security s Electronic Identification and Trust Services

s Large-Value Payment Systems Upgrades s National e-Payments System in Thaïland s Regulatory Framework for FinTechs s SEPA/e-SEPA s SEPA for Cards s Interchange Fee Regulation s Regulations on Payment Platforms in China s Australia Payments Plan s Cross-Border Low-Value Payments Processing s Financial Inclusion s Global Payments Innovation Initiative by SWIFT s Mobile Wallet s Open API Banking Platforms s Payment Security and Technology s PSD II (Access to Accounts) s U.K. PSR (Payment System Regulator) s Unified Payment Interface (India)

s Immediate Payments s ISO 20022 Standards in Payments

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Impact on Banks

KRIIs cited in previous WPRs

KRIIs introduced in WPR 2016

High

Moderate

Low Not Applicable

Note: Payment Security and Technology includes Contactless, Near Field Communication (NFC), Tokenization, Biometric Authentication, and Mobile Point of Sale (mPOS) Source: Capgemini Financial Services Analysis, 2016; WPR 2015, 2014, 2013, 2012 and 2011; SME Input

European Regulation

6.9.2

the payer to execute a payment transaction is given by execution of payment transactions where the consent of (iv) the payment is made to the telecommunication, IT system means of any telecommunication, digital or IT device and or network operator, acting only as an intermediary goods and services. between the payment service user and the supplier of the which, in the context of payments made by card or online, As an example, the Group’s Commercial Acquiring activities, cardholder’s bank so that the bank may determine if the consist in receiving and transmitting the payment order to the instrument acquiring services. Similarly, the Group’s processing transaction can be effected, constitute the provision of payment and execution of debit (Bancontact/Mister Cash, Maestro and constitutes the provision of services for the execution of VPay) or credit (Visa and MasterCard) card payment orders payment transactions through payment cards. Conducting regulated payment services in a European Union regulatory authority as either a licensed credit institution member state requires prior approval from the relevant national payment institution. Licensed institutions are allowed to operate authorized to provide payment services or as a licensed other member state in which they are authorized to operate in the member state in which they are licensed as well as in any either pursuant to the European principal of freedom to provide

6.9.2.1

Regulation of payment services in

Europe

The provision of payment services is a regulated activity that states that have implemented the PSD, which regulates requires a license when carried out in European Union member payment services in domestic markets. Under this regulation, the following activities, in which the Group

participates, are considered to be payment services: issuing and/or acquiring of payment instruments; (i)

line; card, or a similar device, whether such transaction execution of payment transactions through a payment (ii) originates from a payment account or is covered by a credit execution of funds transfers and debit payments, including (iii) account with the user’s own payment services providers or standing orders, whether made through the payment credit line; and with another payment services provider or covered by a

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Worldline 2016 Registration Document