Bank of Valletta: Pioneering the future of digital payments in Malta

In the rapidly evolving landscape of digital banking and electronic payments, Bank of Valletta stands at the forefront of innovation in Malta. Leading the charge is Chris Degabriele, who heads the bank’s Electronic Banking Unit. With over three decades of experience at BOV, Chris, together with a dedicated team, has been instrumental in shaping the bank’s digital transformation journey, from the introduction of ATMs to the recent launch of mobile payment solutions.

Chris’ 32-year journey with BOV mirrors the Bank’s own digital evolution. “I began my journey at the bank with Bank of Valletta International,” he recalls, describing his early days in the offshore banking sector. His career path took him through various departments, including trade finance, branches, and Customer Service Centre, before landing in the card business sector, which is now part of the Electronic Banking Unit he oversees.

This diverse experience has given Chris a unique perspective on the Bank’s transformation. “Bank of Valletta has transformed itself multiple times, and it’s still transforming itself,” he notes, emphasising the constant need to adapt to new regulations, challenges, and innovations.

A recent driver for change was COVID-19. Looking back on the impact of the pandemic on digital adoption, Chris comments on how COVID-19 accelerated the adoption of digital payment solutions. Observing a fascinating trend, he maintains, “Most customers went straight through from cash to card transactions over POS, skipping ATMs entirely.” This shift was further facilitated by increasing the contactless payment limit from €25 to €50, reducing the need for PIN entry and physical contact with payment terminals, he adds.

Homing in on BOV’s current strategy in electronic banking, the Head of eBanking affirms that today, this is firmly rooted in a mobile-first approach – a philosophy which has driven the development of products like the BOV mobilePOS, which essentially transforms Android smartphones into secure card acceptance payment terminals.

Yet, Chris emphasises, the BOV mobilePOS solution is more than just a technological advancement; it is a strategic move to reduce cash dependency in Malta. “Our initial approach with BOV mobilePOS was the idea that we would target customers who are predominantly still cash-based,” he says, including artisans, market vendors, and professional service providers who have traditionally relied on cash transactions.

BOV mobilePOS provides unparalleled mobility and flexibility. Merchants can accept payments from anywhere, making it particularly beneficial for those operating outside traditional storefronts, such as delivery services or pop-up market stalls. In-store businesses also benefit, as the solution allows for multiple mobile points of sale, enhancing the customer experience by allowing employees to process payments directly from the sales floor. For customers, BOV mobilePOS means faster, more convenient transactions. With just a tap, they can complete purchases without the hassle of carrying cash. Highlighting the importance of balancing innovation with security, Chris affirms that, while pushing for innovation, BOV remains acutely aware of the need for robust security measures. Emphasising the rigorous certification processes required by card schemes like Visa and Mastercard, he explains, “unless clients pass the security tests, they wouldn’t be able to launch their product to the market.”

The Bank has also been proactive in educating customers about security risks, Chris continues. BOV’s ‘Spot the Scam’ campaign aims to help customers identify potential fraud and protect their sensitive information. “We are always keen to educate people on how to identify whether a message that they have received, or any communication which they have received, is legitimate,” he highlights.

Looking to the future, the Head of eBanking points out several key areas are in focus as BOV continues to innovate. These include anticipating changes in upcoming regulations like PSD3 (Payment Services Directive 3), which will introduce the need for new technological advancements whilst evolving existing technology emanating from PSD2 such as open banking and strong customer authentication; continuing to improve the customer experience through digitising more customer journeys, from account opening to loan applications; as well as investigating new technologies to strengthen the security of customer onboarding and authentication processes.

Viewing regulatory developments not as challenges, but as opportunities, Chris affirms, “regulation is not there to hinder business, but to regulate and create opportunities.”

Reaffirming his commitment to continuous innovation, the Head of eBanking maintains that, despite the years of experience, his enthusiasm for the constant changes in the field keeps him engaged. “There isn’t a single day where I don’t learn something,” he says, highlighting the dynamic nature of the electronic banking sector.

But this commitment to innovation extends beyond mere technological advancements, Chris notes, highlighting BOV’s consideration of the environmental impact of its solutions. The BOV mobilePOS, for instance, reduces the need for physical hardware and paper receipts, aligning with the bank’s sustainability goals. Moving forward, as Bank of Valletta continues to lead Malta’s journey into the future of digital banking, it becomes clear that, under the guidance of professionals like Chris Degabriele and his team, the bank is well-positioned to meet the evolving needs of its customers, while staying ahead of technological trends.