Haruhiko Kuroda: Payments innovations and the role of central banks - addressing challenges posed by stablecoins

Speech by Mr Haruhiko Kuroda, Governor of the Bank of Japan, at the Symposium for the 35th Anniversary of the Center for Financial Industry Information Systems, Tokyo, 4 December 2019.

The views expressed in this speech are those of the speaker and not the view of the BIS.

I. Introduction

It is my privilege to be here today at the Symposium for the 35th Anniversary of the Center for Financial Industry Information Systems (FISC). Since its foundation in 1984, FISC has contributed enormously to enhancing financial information systems and to improving the efficiency of financial services in Japan. I would like to express my respect for FISC's many years of service and extend my heartfelt congratulations on the 35th Anniversary.

Today, I would like to talk about payments innovations and the roles of central banks.

Recently, there have been various changes in Japanese retail payments: person-to-person payments and merchant-to-person payments. For example, in October 2018, financial institutions started to provide their customers with "24/7 fast payment services," which enables real-time fund transfers between deposit accounts on a 7-days-a-week, 365 days-ayear basis, including nighttime and holidays. The providers of these services have aimed at responding to the demand for more convenient payment services arising from changes in the lifestyle of consumers and the spread of e-commerce.