Impact Study
This impact study explores how far along the G20’s cross-border roadmap firms have travelled; why cutting-edge technology platforms are imperative in today’s instant payments world; as well as how financial leaders can go beyond the G20’s objectives, in order to ensure prosperity for the coming decade.
The cross-border payments market is one of the fastest growing money movement markets in the world. It reached $150 trillion in 2017, and by 2027 is expected to reach $250 trillion – a rise of over $100 trillion in just ten years.
There are several factors that have led to the increase in global remittances, be they wholesale or retail in origin, including expanding supply chains; globalised investment flows; international trade and e-commerce; as well as the increased global movement of people, resulting in more money being sent across borders.
While cross-border payments are booming, many financial institutions are still struggling to keep their technology platforms up to speed, and the drive toward real-time is having deep ramifications for organisations’ operations. To address
these challenges, a gathering of some of the world’s largest economies, known as the Group of Twenty (G20), set out a roadmap in 2021 to improve cross-border payments.
Also providing impetus for widespread modernisation are mandated initiatives like new, and continually evolving, ISO 20022 message and data standards and the European Union (EU)’s Digital Operational Resilience Act (DORA) – forcing players in the highly-competitive payments space to invest in smarter services, customer centricity, and on top of that, become the engines of growth.
This Finextra impact study, produced in association with Temenos, explores:
A status update on the G20 cross-border targets;
The need for modernisation - an overview of other factors affecting cross-border payments;
A roadmap for change beyond G20;
Real-life case studies.
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