Dive Brief:
- The Federal Reserve Bank of Boston has launched the payments advisory council for its First District region, according to a Monday press release.
- The Boston Fed has assembled executives from financial institutions and payments firms to serve on the council. Those members include executives from Toast, Wex, State Street and Fintech Sandbox, according to the press release.
- The council members, from the district’s New England area, will convene to share industry insights and data in an effort to help the Boston Fed understand current payment issues and guide the agency’s policy decisions, the release said.
Dive Insight:
The council will review developments in the payments industry, identify trends and build relationships among council members, with other payments players and with the Fed bank’s leaders at the agency, according to the initial March charter for the council.
A spokesperson for the Boston Fed said the council will meet a few times a year and has no plans to release an update on its progress this year.
“This council will contribute invaluable insight on the U.S. payments system as it continues to evolve by drawing on the expertise, innovation, and perspectives of leaders in New England’s financial and technology sectors,” Boston Fed First Vice President and Chief Operating Officer Karen Pennell said in a press release.
The selection of members was based on their “demonstrated a strong interest in contributing to the development of the future payments system, and are willing to make an investment of time to enable effective engagement,” the charter said. They are all being asked to sign an antitrust statement stipulating that their participation doesn’t breach antitrust laws.
In its initial charter for the council, released in March, the Boston Fed said members will be on the council for terms of between 18 and 24 months.
The Federal Reserve is also bringing together industry executives and government leaders to address payments issues.
For instance, the Fed is partnering with the Federal Communications Commission and the U.S. Treasury Department on a roundtable to fight payments fraud. During the roundtable, the participants will discuss data-sharing practices, fraud prevention measures and government and cross-sector solutions, according to a speech by the Federal Reserve’s vice chair for supervision, Michelle Bowman, last month.
