GlobalData’s 2024 Financial Services Consumer Survey* reveals that around 63% of global consumers use international real-time payments services to send money to family and friends and 51% use them only to pay for goods and services.
According to GlobalData’s Payment Instrument Analytics, the total volume of cross-border transactions in Europe alone will increase by 58% between 2023 and 2028. The G20 roadmap for enhanced cross-border payments aims to improve the speed, access, transparency, and cost of international payments by 2030.
In its most recent update in October 2023, the Financial Stability Board reported a shortfall against G20 targets in the proportion of retail services that make funds available to the consumers in an hour (42% vs target of 75%) and in one business day (76% vs target of 100%).
Stephen Walker – Lead Banking and Payments Analyst at GlobalData, comments: “Not only are real-time payments considered superior to traditional methods because of their speed, but these services are typically available 24/7, reduce transaction costs, and ease liquidity management for businesses. They also represent the next major step for cross-border payment services, as the volume of cross-border payments also ramps up over the coming years.”
Several international initiatives, such as “Immediate Cross-Border Payments” developed by The Clearing House in the US, EBA Clearing in Europe, and SWIFT, are being developed to establish a 24/7 USD-EUR payments corridor to improve cross-border payments.
Walker concludes: “As these developments and initiatives continue, the tradeoff between the ease of creating multilateral channels and the scalability of a truly global system will get harder to overcome. The failure of pan-Nordic initiative P27 illustrates the challenge of collaborating on and executing the vision of a cross-border settlement scheme across jurisdictions. The push for digitalization of consumer payment methods will be key in driving down costs and improving transfer speeds.
“Simplicity and speed of the transfer process is the most important factors for consumers when choosing a cross-border payment provider. While progress has been tangible, there is scope to improve these measures and further reap the rewards from delivering these services.”
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*GlobalData’s 2024 Financial Services Consumer Survey was conducted in Q2 2024 and had 61,000 respondents across 41 countries.
Banking 4.0 – „how was the experience for you”
„So many people are coming here to Bucharest, people that I see and interact on linkedin and now I get the change to meet them in person. It was like being to the Football World Cup but this was the World Cup on linkedin in payments and open banking.”
Many more interesting quotes in the video below:
