Commercial Cross Border: This is Getting Good

Commercial cross-border transactions are a big business, and they’re only getting bigger, projected to expand at nearly an 11% compound annual growth rate through 2030. Such transactions also tend to be costly and risky, tied to a correspondent banking model that is slow-moving and opaque. However, new instruments abetted by technology—instant payments, blockchain solutions, and more—are chipping away at the legacy model and providing new avenues for faster, more affordable business payments. 

This Javelin Strategy & Research report looks at the traditional ways of moving money overseas between businesses and contrasts that with emerging new tools that promise to transform the cross-border payments environment. It also assesses the considerable risks companies face in doing business across borders and how they can navigate issues involving foreign exchange fluctuations, regulatory compliance, fraud prevention, and geopolitical upheaval.

Key questions discussed in this report: 

• What are the challenges associated with legacy methods of moving money across borders?
• What tools are emerging to make commercial cross-border payments easier, less expensive, and faster?
• What strategies can businesses employ to reduce their risks in cross-border transactions?

Companies Mentioned: 

ACI Worldwide, AMEX, Capital One, Citigroup, Discover, J.P. Morgan, MasterCard, SWIFT, U.S. Bank, UnionPay, Visa