Intelligent Issue 22 - Page 17


// TECH TRENDS // payments to outstanding invoices remain manual . Additionally , many businesses have multiple accounts spread across various banks , countries and currencies . The high data standards of real-time payment systems address these inefficiencies by providing invoices and payments that map to the needs of the corporate customer .

Whether a corporation sends individual payments or a batch , the richer data standards mean more invoice and reconciliation information is bundled with each payment , adding accuracy , efficiency , speed , reliability and transparency to every link in the transaction chain . With improvements to accounts payable comes enhanced cashflow and liquidity management . Elimination of payment inefficiencies carries over into factories and warehouses , allowing faster delivery for enduser , more efficient inventory management , modernisation of supply chains and the freedom to unlock working capital to conduct business more efficiently .
Acting on insights
With better visibility , businesses can take advantage of tailored services such as micro business loans that match the information on incoming and outgoing payments , outstanding invoices , or seasonal sales trends and potential charges for corporate customers for late payments . They can also proactively address liquidity gaps through bridging loans , giving corporations better control over banking costs .
Using data analysis to identify supply chains and trade corridors gives financial institutions the opportunity to customise the products they offer to corporations or to connect them to selected partners that may be able to serve them better . One example of this is factoring . SEB and , Swedish FinTech firm , Capcito use APIs to connect with one other to offer financing to corporate customers based on outstanding invoices .
Greater coverage
SMEs are often underserved in the corporate banking world due to the high costs associated with serving them . This is because data collation and analysis have traditionally been a manual process for smaller businesses . Real-time payments will allow SMEs improved access to services and help banks by giving them access to new sources of revenue through new and innovative use cases .
As the global reach of real-time payments expands , so will the opportunities for banks , and other FSI-associated organisations to add value . Together with other digital payment trends such as Open Banking , modern data standards and mobile wallets , a whole new set of impactful use cases are now possible . �
Craig Ramsey , Global Head of Real-Time Payments , ACI Worldwide

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