Innovating across borders: Meet the PSP Tribe

We are happy to introduce the multinational members of our PSP Tribe who will give you an insight into current trends and local market know-how.

Lead of PSP Coordination at RBI Group – Hungary
bsalamin@raiffeisen.hu

Technology has changed the way we work and communicate, by seeping into every aspect of our life. This is particularly true in the financial sector. FinTechs have developed new products and service channels. This poses several challenges for banks, which strive to adapt to the changing market environment.

The journey of young entrepreneurs becoming Unicorns in the Fintech space calls for continuous learning. Regulators, commercial banks and FinTechs alike have realized that despite of the new cutting-edge technology, it is more than an IT solution. It is a financial service. A new way of banking, where the digital age meets with traditional banking. This development has been a lesson for everyone. For FinTech, especially for the Payment Service Providers (PSPs), it showed that financial services can only be offered in a regulated financial environment. This is why a dependable banking partner is necessary, as behind every successful fintech stands a strong bank.

For this reason, RBI Group launched the PSP Tribe initiative, drawing closer the coverage teams, client demands and service areas; aiming to reshape internal processes and maximize customer experience to provide a PSP friendly environment. We aim to make our services more attractive to market players and, what is more important, we aim to offer a client-centric environment and services to our existing PSP partners.

Focusing on the customer experience, on the business demands of PSPs and on the specialties of the cross-country service, we have been redesigning our Group level coverage model, onboarding-, and regular KYC review processes, by

• setting dedicated PSP Relationship Managers in every Raiffeisen Network Unit,
• applying a coordinated RBI Group level service model,
• setting a single point of contact for PSP clients at the Cash Management and Group Compliance level within the Raiffeisen Group.

This initiative meant not only technical or operational changes for us. The most vital part, the heart of all changes, is the mindset. Connecting the international sales, compliance, and cash management teams of RBI Group and by aligning them with PSP business coverage, we created our PSP Community. It connects diverse skills and expertise, diverse backgrounds and viewpoints who come together around shared goals and values.

We believe this community mindset is not only impacting the culture and makes stronger relationships but creates a competitive advantage for our PSP clients as well.

PSP Cash Management – Raiffeisen Bank International
aron.demhardt@rbinternational.com

In today’s rapidly evolving financial landscape, banks must embrace innovation and adapt to the changing dynamics of the financial industry. PSPs play a vital role in this constantly changing environment. Recognizing this trend, we, the cash management experts of RBI, actively seek cooperation with PSPs rather than viewing them only as competitors. By forging strategic partnerships, our clear aim is to further strengthen our position in the international cash clearing infrastructure and simultaneously tap into the growing importance of PSPs, aligning our services with the shifting dynamics of the financial ecosystem.

PSPs are increasingly seeking local payment solutions in the CEE region. Here, our bank can provide valuable assistance either through our network banks or centrally through Vienna. Depending on the needs of the respective client, we can offer tailor-made solutions that leverage our local expertise and extensive network. This collaborative approach enables PSPs to benefit from our deep understanding of the CEE region and our ability to navigate local payment systems seamlessly. At the same time, it helps RBI position itself as an innovative partner to PSPs and to remain at the forefront of the payment industry.

Relationship Manager – Austria
yuliya.todorova@rbinternational.com

At Raiffeisen Bank International, we provide a vital gateway to the EUR area and other CEE currencies for our PSP partners, given our strategic location in the heart of Europe – Austria. This regional coverage is one of the major reasons many PSPs choose RBI Group as their reliable partner, as it also offers potential expansion to numerous nearby countries within CEE.

In recent years, Austria, like many other countries, has experienced a surge in the digital payments market, driven by the demand for faster, secure transactions and a diverse array of payment options. The pandemic has further accelerated the widespread adoption of contactless card and mobile payments, making them an essential part of daily life in the country. This has supported the development of innovative business models within the PSP industry. Exploring the varied and creative strategies of PSPs presents an exciting challenge for RBI Group, as we strive to deliver the best combination of services tailored to customer needs.

Our commitment to ensuring a safe and compliant operation is of outmost importance. Thus, we are putting great emphasis on centralized compliance assessment and advisory. This eases the coordination efforts within the entire Group and ensures compliance with both external regulations and internal Group compliance policies. The RBI Group’s collaboration also extends across various stakeholder departments, ensuring that our Group-wide efforts foster a robust and supportive ecosystem for our PSP partners. 

Relationship Manager – Czech Republic
zuzana.krausova@rb.cz

Over the past few years, we could see a new development of the market on the field of PSPs. Not only in the size of business, but in the requirements of banks and national regulators, which mainly affect the anti-money laundering (AML) expectations and facilitate the entry of PSPs into the market. The Czech Republic has experienced the exit of significant players in the PSP field, which we drew valuable lessons from that we apply when onboarding new PSP clients. This experience has shown us that the size or number of markets in which a company is established does not automatically mean that the client has perfectly configured AML/compliance processes and a reasonable risk appetite. This shows that doing business in this area poses a challenge for banks. However, with properly implemented processes, an adequate business and compliance approach, and the terms and conditions of the bank, these challenges can be addressed, leading to a well-controlled PSP portfolio with identified risks.

In the last year, we have successfully updated our segregated account service, introduced several tailor-made solutions for PSP clients (e.g. IBAN accounts for PSP, PSP client funds reporting adapted according to PSP needs, etc.). This year, we are focusing on IT infrastructure enhancements, like API, automated IBAN solutions, etc.

We are in partnership with a wide range of PSPs (C2C, B2C, B2B etc.) located in the Czech Republic and abroad. This means that we must understand the activities of these PSP clients, as well as the growth potential of foreign PSPs in the Czech market, and thus establish the right risk/compliance approach to eliminate these risks. The PSP client portfolio in our unit grows annually by 24% (total number of transactions, proportionate to the size of our team, and our revenues grow accordingly). We continuously monitor trends in this area. Therefore, we maintain active contact with the Czech Fintech community, which helps us better understand this market. Additionally, we stay in touch with the Czech National Bank on roundtables to stay up to date with new legislation and regulatory expectations.

This segment is very interesting with a growing opportunity, not only in Czech Republic, but in the whole CEE region as well, where RBI Group is traditionally present. For this reason, it is crucial for us to help our existing and future clients with regional cooperation.

Relationship Manager – Hungary
balint.torok@raiffeisen.hu

Hungary is traditionally a popular destination for PSPs, because of the internal labor migration in the EU and the separate currency in Europe and EU. In addition, the PSP-friendly local regulatory environment and the systematic development of the national payment infrastructure helps PSP players enter the Hungarian market. Since 2021, offering digital payment methods is mandatory in Hungary for shops, this has opened additional opportunities (QR code, payment request etc.) and boosted the number and proportion of card payments. Instant payment features were introduced in the country, which also raise the interest of PSPs. These developments have led to a growing interest of market players in the Hungarian market. Having several years of experience with PSP clients, we at Raiffeisen Bank Hungary are strongly committed to support our PSP partners in receiving the highest quality service locally and in the rest of the CEE region.

Relationship Manager – Serbia
milan.jovanovic@raiffeisenbank.rs

Reflecting on the new market environment, the National Bank of Serbia (NBS) set up a comprehensive and strict regulatory framework relating to the provision of payment services and electronic money issuance. In addition to developing payment services and defining rules for their provision, the law has also established legal grounds for setting up and the operation of payment and electronic money institutions, as new types of payment service providers. NBS as a regulator places a special emphasis on user protection, by defining in detail mandatory information to be supplied by PSPs and by supporting the adoption of the law on financial service consumer protection.

Currently, the Serbian PSP market is growing and dominated by local entities, besides the strong interest of other foreign payment providers. Our bank, Raiffeisen Serbia, was chosen by some of the biggest market players as a partner, which we regard a strong recognition of our partnership. As part of the RBI Group, we offer the opportunity to provide payment services in the further CEE region. 

Relationship Manager – Slovakia
dominika_adebanjo@tatrabanka.sk

Being in the Eurozone, and not having our own local currency, makes it harder for us in Tatra Banka to get the big worldwide players, because they simply do not need multiple EUR account to serve their clients in Slovakia. Our PSP market mainly consists of Slovak and some Czech PSPs, who are expanding their business here.

We are, however, proud to say that the local players are growing gradually, and we are there to watch them and support them. Last year, we managed to introduce a new account fee for segregated accounts as part of our achievements in this sector.

Having the possibility to be a part of the RBI PSP Group with its HUB Centre in Raiffeisen Bank Hungary is a fantastic opportunity for us all. Not only for us, as our bank’s representatives, who can very easily share the experience, the expertise, and are able to get to know each other on a different level, but also for our clients, who can easily be referred to other Raiffeisen colleagues in different countries, where our clients wish to expand their business to.

Thanks to this exceptional collaboration, two of our local clients are currently being onboarded by Raiffeisen Hungary, Romania and Czechia, where colleagues are providing great support and walk the client through the entire process together with me, the local relationship manager, serving as their „ambassador”.