The Office of Competition and Consumer Protection (UOKiK) has approved the creation of “Polski Standard Płatności” (Eng. Polish Payment Standard), a joint venture of six banks that will establish a payment system for mobile devices, concluding that such a venture will not limit competition.

Six banks operating in Poland - PKO BP, Alior Bank, Bank Millenium, Bank Zachodni WBK, mBank and ING Bank Śląski – have been granted approval to establish a joint enterprise “Polski Standard Płatności” (PSP). The new entity will oversee a mobile payment system that will enable clients of these banks to use their smartphones or tablets to make payments and withdraw cash from ATM machines.

“Having taken into account possible benefits of the concentration, we believe it will contribute to the creation of a uniform market standard. The current lack of such a standard is one of the main barriers hindering the development of a mobile payment system in Poland. Mobile transactions will serve as an alternative to card payments and therefore reduce the cost of non-cash purchases”, says Robert Kamiński, Head of the Department of Concentration Control at the OCCP.

The OCCP conducted market research involving banks that did not participate in the venture, payment service providers and sought opinions of the Polish Financial Supervision Authority and the National Bank of Poland.

As a result, the OCCP concluded that the transaction will not limit competition in the mobile payments market. Among other factors, the Competition Authority took into account the open character of the newly created system. As declared by PSP founders, the system will be open to other market participants, such as banks, settlement agents, or ATM network owners. Other banks will also be able to join the newly established entity. It is worth noting that the PSP system will allow its participants to cooperate freely with other entities and mobile payment systems.

NOTE: In accordance with competition regulations, a transaction between parties whose total joint annual turnover in the previous year exceeded €1 bn worldwide or €50 mln in Poland must be reported to the Competition Authority.

Concentration approvals expire if the concentration is not completed within two years from the date the decision was issued. The OCCP website provides information on all antitrust proceedings related to concentration cases. More information on the rules governing mergers can be found here.

Additional information for the media:
Małgorzata Cieloch, Spokesperson for UOKiK
Press Office
Pl. Powstańców Warszawy 1, 00-950 Warszawa
Phone: 22 827 28 92, 55 60 314, 55 60 430
Fax: 22 826 11 86
E-mail: malgorzata.cieloch@uokik.gov.pl