The central bank has repeated its threat to cut interchange fees in the cards payments system, if industry participants can’t meet a mandate to enhance market competition.

The Reserve Bank of Australia’s payments system board says it is prepared to step back from regulating direct fees paid by merchants to card companies when customers use their cards, if the industry shows it can take the appropriate steps.

But the board said in a statement on Wednesday, about its last meeting on May 15, that it had not seen sufficient progress in addressing these concerns.
Full Story