The Hellenic Competition Commission (HCC), taking into account the increasing use of financial technology in the provision of financial services, as well as the ability of modern technology tools to facilitate restrictions of competition in the digital environment, has initiated a sector inquiry into financial technology services (Fintech), exercising the respective powers conferred on it pursuant to Article 40.
The sector inquiry will take place with the collaboration of the Bank of Greece, for more info see here.
The use of financial technologies benefits consumers and businesses in several ways, as it contributes to the development of innovative products and the provision of integrated and more affordable services, the improvement of the access to finance of companies (mainly SME’s) and the strengthening of competition through the entry of new competitors in the market. However, the basic characteristics of these technologies, which are primarily the use of platforms, big data, and algorithms, can facilitate the adoption of practices that are able to harm consumers and impede innovation and competitiveness in the specific sector.
In this context, the HCC has taken the initiative to investigate in depth the competitive conditions prevailing in the market for financial technology services, in order to enhance consumer welfare, but also to actively contribute to the country’s digital transformation and the promotion of innovation.
Given that the rapidly increasing use of electronic banking and electronic payment systems is expected to be further strengthened due to the COVID-19 pandemic – related crisis, this sector inquiry can be considered as part of the wider set of actions undertaken by the HCC to protect consumers at this difficult situation.
Full Content: Epans
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