Europe urgently looking for alternatives to Visa and Mastercard: What’s behind it
Photo: The EU wants to reduce its dependence on US payment systems (Getty Images)
The EU wants to reduce its dependence on the American payment systems Visa and Mastercard, as they could become a tool of geopolitical pressure from the US, according to the Financial Times.
The CEO of the European Payments Initiative (EPI), Martina Weimert, stated that the dominance of American companies could become a tool of pressure if transatlantic relations deteriorate.
According to data from the European Central Bank, in 2022 Visa and Mastercard processed nearly two-thirds of all card payments in the EU. At the same time, 13 member states lack their own alternatives, and in countries where alternatives exist, their use is declining.
Weimert noted that Europe lacks a fully functional cross-border system. She also emphasized that amid rising geopolitical tensions, the issue of payment independence is becoming a Europe-wide priority.
Launch of a payment alternative
The outlet notes that similar statements have been made before. In particular, former ECB President Mario Draghi said that economic integration could become a lever of control if partners stop being allies.
In 2024, EPI launched the Wero service, which became an alternative to Apple Pay. Weimert reported that Wero already has about 48.5 million users in Belgium, France, and Germany, and by 2027, it is expected to expand to online and offline payments.
