The gradual but rapid expansion of direct payments – which are currently offered in Greece through the system IRIS – in all businesses, until March 31 2025, announced the Minister of National Economy and Finance Kostis Hatzidakis speaking today at the Payments360 conference organized by DIAS.

On June 30, 2024 – according to a law passed in December 2023 – the deadline for self-employed and freelancers to provide the possibility of direct payments to their clients and the minister called on those liable to comply in time in order to avoid fines (1,500 euros) provided by law, but also to benefit from the lower commissions.

Mr. Hatzidakis underlined that Greece implemented before the issuance of the relevant European Regulation 2024/886 the obligations arising from it in relation to Person to Person (between individuals) and Person to Business (between consumers and businesses) direct payments. The Regulation foresees the universal extension of the possibility of direct payments by October 2025, however our country will proceed earlier – until March 31, 2025 – in this area as well.

“The next step for us concerns the extension of direct payments across the spectrum of transactions: both in e-commerce and physical commerce (store). I mean, now you all businesses. This is the next big challenge. And in this context, the government and the Ministry will make every effort so that all parties involved (the banks, the direct payment system DIAS and AADE) coordinate and make the necessary technical adjustments with the aim of ensuring that there will be the possibility direct payments and transactions to all types of businesses”, the minister emphasized.

Mr. Hatzidakis pointed out the multiples benefits from the increase in electronic transactions (overall and not only direct payments), which is convenience, transparency and the limitation of tax evasion. “In 2023 alone, he said, the increase in electronic transactions contributed to an increase in tax revenues of over 500 million euros.”

According to the data he presented, instant payments are showing a leap as registered IRIS users now exceed 2.6 million, of which over 405,000 have signed up since January. In other words, we had an increase of approximately 18.5% within 4 months.

Furthermore:

– From the beginning of 2024 until April, 111,000 IRIS Person to Business transactions took place compared to only 11,000 last year, i.e. they increased tenfold.

– A third of the obliged self-employed and freelancers – i.e. 280,000 out of a total of about 900,000 – have connected as to the 150,000 users in 2023, another 125,000 were added (an increase of about 80%).

The minister also addressed recommendation to banks to increase it daily limit of using the IRIS system for consumers, at 500 euros for transfers to individuals, plus 500 euros for payments to businesses, (ie a total of 1,000 euros per day from 500 currently).

“All those who complain about bank fees should not forget that there are cheap or free alternatives: direct payment systems – in Greece IRIS. So, let everyone be informed and take advantage of this possibility, whether they are ordinary citizens or professionals. Instead of complaining, let’s take advantage of the alternative – free or very cheap – solutions for everyone. 2,600,000 of our fellow citizens are already benefiting. Let the others benefit too!”, concluded the minister.