Security and transparency most important factors for cross-border payments, says Swift survey
13 July 2023 Belgium
Image: Epic Photos
Security and transparency are the most important factors when sending money internationally, according to a new cross-border payment survey, conducted by Swift.
Some 87 per cent of SMEs (small-to-medium enterprises) and 81 per cent of consumers said they look into banks first before making an international payment, but also reinforced how competitive the market has become. Three-quarters of those surveyed said they would consider using a different provider if they matched the offer they get from a bank, fintech or other provider.
The study found that 79 per cent of consumers and 76 per cent of SMEs expect an international payment to be completed within one hour or less. Only 24 per cent of consumers and 15 per cent of SMEs expect payments to be instant, but expectations for speed are likely to increase as more domestic market infrastructures move to instant payments.
Swift’s study also found notable variations in responses from customers in different countries. Consumers in Saudi Arabia and Australia are more concerned with the impact of foreign exchange conversion when making international payments than those in other nations, while SMEs in Germany place particular importance on the integration of payment processes into other tools, such as accounting software.
Thierry Chilosi, chief strategy officer at Swift, says: “Our research confirms there is a real opportunity for financial institutions to offer compelling solutions that combine simple and transparent digital front-end experiences with secure, reliable and fast back-end processing.
“This is exactly why we developed Swift Go with our community to facilitate fast and predictable low-value international payments, and we will keep innovating in this space to ensure payments of all sizes can flow across the globe without friction.”
Some 87 per cent of SMEs (small-to-medium enterprises) and 81 per cent of consumers said they look into banks first before making an international payment, but also reinforced how competitive the market has become. Three-quarters of those surveyed said they would consider using a different provider if they matched the offer they get from a bank, fintech or other provider.
The study found that 79 per cent of consumers and 76 per cent of SMEs expect an international payment to be completed within one hour or less. Only 24 per cent of consumers and 15 per cent of SMEs expect payments to be instant, but expectations for speed are likely to increase as more domestic market infrastructures move to instant payments.
Swift’s study also found notable variations in responses from customers in different countries. Consumers in Saudi Arabia and Australia are more concerned with the impact of foreign exchange conversion when making international payments than those in other nations, while SMEs in Germany place particular importance on the integration of payment processes into other tools, such as accounting software.
Thierry Chilosi, chief strategy officer at Swift, says: “Our research confirms there is a real opportunity for financial institutions to offer compelling solutions that combine simple and transparent digital front-end experiences with secure, reliable and fast back-end processing.
“This is exactly why we developed Swift Go with our community to facilitate fast and predictable low-value international payments, and we will keep innovating in this space to ensure payments of all sizes can flow across the globe without friction.”
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