Number of transactions settled

Number of transactions settled through TARGET2

(primary axis: millions, secondary axis: percentages.) Source: ECB.

Value settled per year

Value settled per year through TARGET2, turnover, yearly increase, compared to GDP

(primary axis: EUR billions, secondary axis: percentage.) Source: ECB.

Distribution of TARGET2 transactions across value bands in 2015

Table of distribution of payments through TARGET2 by value

(in percentages.) Source: ECB.

Market share of volumes and values settled in TARGET2

TARGET2 market share

(in percentages.) Source: ECB.

In 2015, TARGET2 processed almost 88 million payments, with a total value of €470 trillion. This translates into a daily average of 343,729 payments, with an average daily value of €1,835 billion.

Payments are normally divided into large-value interbank payments and low-value retail transactions.

Large-value interbank payments

Although this distinction has never been clear-cut, large-value payments systems (LVPS) mainly focus on processing wholesale interbank transactions of a high amount and great urgency in real time.

Low-value retail transactions

Retail payment systems settle mainly consumer payments of relatively low value and urgency.

Payment values

In value terms, large-value interbank transactions accounted for the vast majority (91%) of the payments settled. The remainder was made up of low-value customer transactions. 67% of the total volume of payments had a value equal to or less than €50,000, most of which can be considered as customer retail payment

The Governing Council of the ECB chose to keep the system open "downwards" for low-value payments and to set no value floor or cap. There was no deliberate intention to process retail transactions but the Eurosystem acknowledged that this decision could contribute to the efficiency of cross-border settlement in the EU without adding costs to the system.

The main reasons for the growing preference for settlement of retail transactions in TARGET2 are:

  • the advantages of a real-time gross settlement (RTGS) system: i.e. time-criticality and immediate finality of the transaction;
  • the additional benefits offered to TARGET2 customers: i.e. the speed of the system, the enhanced liquidity management features and the high security level;
  • the fact that TARGET2 provides settlement in central bank money;
  • almost any bank in Europe is reachable through TARGET2.

TARGET2 market share

TARGET2’s market share is defined as the percentage of the TARGET2 traffic compared to all traffic processed in large-value payment systems in euro. TARGET2 remains the market’s preferred system for the processing of large-value payments in euro.