These bodies will be essential in creating cross-border instant payment networks, as they have the capital and influence to connect disparate payment schemes across different geographical regions to maximise the value proposition of instant payments.
This efficiency is gained by processing payments over instant payment rails, providing time and cost savings while offering greater transparency over transactions to stakeholders than traditional payment rails. The report recommends that regulators increase partnerships with international bodies to broaden payment schemes and expand access to instant payment services.
It predicts that an increased roll-out of instant cross-border payment schemes in multiple countries will drive this growth by enabling businesses and consumers to benefit from incredible speed and efficiency.
A new study from Juniper Research has found that the number of instant payment transactions will exceed 376 billion globally by 2027, increasing from 97 billion in 2022, a 289% growth. The creation of instant payment schemes by international bodies, such as the EU, and an increase in bilateral agreements between these bodies will be critical drivers of growth over the next five years.
This will contribute to the total value of instant payment transactions rising from $6 trillion this year to $33 trillion in 2027. Instant payment is any payment outside a card network capable of receiving funds in 10 seconds or under. It anticipates that cross-border transactions will rise from 631 million payments globally in 2022 to over 6 billion in 2027. Additionally, the report predicts that the increased time and cost efficiencies and the improved cash flow management of instant payments will be primary factors in influencing businesses to adopt.
Regulators to Play Key Role in Cross-border Instant Payments, the report forecasts that cross-border transactions will grow faster than domestic transactions globally. Greater Efficiency to Drive Business Adoption.
Written by: Matthew Thomas
