They should be pursued as a matter of priority, while ensuring a globally consistent approach. Third, it is essential to address risks from non-bank leverage from various perspectives. A key priority should be to develop a globally consistent approach to addressing risk from both financial and synthetic leverage in the non-bank financial sector. Further improving data quality and coverage and information sharing are central to assessing leverage-related risks across non-bank financial sector entities and activities. This work should be complemented by identifying gaps in policy frameworks globally, especially where financial entities are not subject to adequate leverage rules. Fourth, there is a need to enhance margining practices and liquidity preparedness to meet margin calls. Since the March 2020 market turmoil, the non-bank financial sector has been repeatedly confronted with periods of high market volatility and surging liquidity needs from margin calls. Increasing the transparency and predictability of initial margin models and assessing their responsiveness to market stress can help reduce the procyclical demand for liquidity. In addition, ensuring robust liquidity risk management and contingency planning frameworks would mitigate risks associated with inadequate liquidity preparedness. More generally, we must recognise the cross-border dimension of activities and regulatory developments in the non-bank financial sector and the importance of global coordination. For example, the new guidance recently proposed by the US Financial Stability Oversight Council facilitating the designation of non-banks as systemically important demonstrates that these issues are being considered outside of Europe.

If we add account-related revenues and interest rate and penalty fees from credit cards, the figures increase further. With this growth rate and potential revenue, it is no wonder that the retail payments market attracts so much attention. There are other factors that help explain why so much has happened over the last few years and that continue to drive the development. The rapid techno-logical development of smartphones, tablets, and high-speed Internet connection is one of the most important factors. Today, approximately half of all adults in the world have a smartphone and this share is likely to increase significantly. Some 40 percent of the global population use Internet. This technology is widespread and accessible at a reasonable cost and it has changed the way we shop. We purchase goods and services in new ways and because of this we also demand payment services that are suited to this new type of interaction. E-commerce is the prime example. This year some 38 billion e-commerce transactions will take place. We interact with e-merchants who we have no previous relationship with. We download or stream music and movies. We order taxis through a smartphone app. To maximize convenience, we demand tailored payment solutions increasingly often. Businesses are in a similar situation. In e-commerce the purchase is often aborted if the payment method is not quick and convenient enough. They want to be able to offer payment alternatives that customers want to use.