15/07/2026
The Single Euro Payments Area (SEPA) represents the result of a European Union integration initiative intended to harmonise the way electric euro transactions are executed in Europe. Today, the geographical scope of SEPA covers 41 countries, including all European Union Member States.
The functioning of SEPA is based on the application of common and agreed technical standards and harmonised business rules, enabling efficient, secure and transparent execution of euro payment transactions across the entire SEPA area. The main objective of this pan-European payment integration project is to make euro denominated transactions across Europe simpler, faster and more standardised by aligning national payment systems of participating countries so that they operate as a single integrated system, ensuring that cross-border payments within SEPA are as convenient and efficient as domestic payments.
SEPA operates through five respective payment schemes, which provide the framework for the execution of transactions through specific payment instruments. Each scheme has its own binding rules, standards and participation requirements developed by the European Payments Council. Through participation in these schemes, payment service providers are able to offer their payment service users the execution of transactions within a standardised and fully automated environment.
Following the inclusion of the Republic of Serbia in the geographical scope of the SEPA payment schemes on 22 May 2025, Serbian payment service providers became eligible to adhere to specific SEPA schemes. Pursuant to the European Payments Council's calendar May 2026 was designated as the earliest date for their operational participation. In line with this timeline, the National Bank of Serbia and 18 out of 19 banks operating in the Republic of Serbia have adhered to the SEPA Credit Transfer (SCT) payment scheme and commenced its operational application. Thus, from that date onwards, payment service users in the Republic of Serbia are able to execute euro denominated transactions within the SEPA area more efficiently, faster and at a lower cost.
Preliminary statistical data collected by the National Bank of Serbia for May 2026 indicate that, already in the first month of the operational application of the SCT scheme in the Republic of Serbia, a significant share of cross-border euro-denominated transactions with SEPA countries was executed through this payment channel. These initial results confirm the successful integration of the SEPA framework into the domestic payment system, as reflected in its utilisation by domestic payment service users in practice.
The progress and adherence of domestic payment service providers to the SCT scheme have been supported by the National Bank of Serbia, which has acted as the institutional coordinator and principal authority responsible for ensuring the timely and harmonised integration of the domestic banking sector into the SEPA framework.
BENEFITS FOR CITIZENS AND THE ECONOMY
For citizens of the Republic of Serbia - its inclusion in the SEPA geographical scope brings numerous practical benefits. The ability to execute transactions under a unified and harmonized set of rules applicable across the entire SEPA area contributes to greater simplicity and predictability of the entire payment process.
A key advantage of the SCT scheme is reflected in its clearly defined execution rules applicable to all participants. Funds are credited to the payee’s account within one business day from the moment the payment service provider receives a duly completed payment order from the payer, and where required by applicable regulations, the necessary documentation and additional information regarding the transaction.
In addition, when conducting transactions under SEPA payment schemes, the payee receives the full amount of the transaction without deductions from intermediary banks, while each party bears its own bank charges in accordance with its respective tariff policy, thereby ensuring greater transparency and certainty in payment planning.
The importance of SEPA participation is particularly evident for the domestic economy. The European Union is one of the Republic of Serbia’s most significant foreign trade partners, and a substantial share of business transactions of domestic legal entities is conducted with counterparties from European countries.
In this context, the ability to execute payments with the European Union and other SEPA countries through standardised payment schemes enables more efficient cash flow management, improved business planning, and reduced cross-border payment costs.
This is particularly important for small and medium-sized enterprises (SMEs), which constitute a significant part of the domestic economy. Faster and more predictable payments under SEPA schemes facilitate simplified and smoother cross-border business operations and can enhance their competitiveness, thereby supporting deeper integration into the European market.
SEPA AND EUROPEAN INTEGRATION
The inclusion of the Republic of Serbia in the SEPA geographical scope and the processing of SEPA payment transactions mark an important step towards integrating the domestic market into the European Union’s internal market.
Given that the accession process required compliance with stringent criteria and alignment of the domestic legal and institutional framework with relevant EU acquis in the area of payment services, as well as anti-money laundering and terrorism financing, SEPA membership confirms a high degree of regulatory alignment with EU standards, as well as the capacity of domestic institutions to consistently apply these standards in practice.
Accordingly, SEPA membership represents an important component of the broader European integration process and the continued harmonisation of the domestic financial system with the legal and institutional framework of the European Union.
Taking the aforementioned into account, it is evident that SEPA membership represents further integration of the domestic payment system into the European payment infrastructure, as well as an important milestone in the overall accession process of the Republic of Serbia to the European Union.
The introduction of SCT transactions has already enabled citizens and businesses to benefit from common European standards when conducting cross-border transactions, while further phases of the implementation of the SEPA project in the Republic of Serbia are expected to additionally enhance the efficiency of cross-border payments in the future.
The benefits of SEPA membership extend beyond faster and simpler payments, encompassing stronger connectivity with SEPA countries, increased competitiveness of the domestic economy, fostering of investments, and the development of modern financial services.
In this regard, SEPA accession represents a significant step forward in the modernisation of cross-border payment payment services and the integration of the Republic of Serbia into European economic flows.
Through this step, the National Bank of Serbia further confirms its role as a responsible and reliable institution ensuring the smooth functioning of the domestic payment system, while maintaining the country’s financial stability, as well as its clear commitment to enhancing efficiency, transparency and safety in payment operations and further strengthening the integration of Serbia’s financial system into the Single Euro Payments Area.
Governor’s Office
