Connecting the Globe

A New Era for B2B Cross-Border Payments

While an array of real-time, data-rich domestic payment schemes have been launched globally in recent years, cross-border payments have remained frustratingly inconsistent. Payments pioneer Visa aims to change that through the growth of its Visa B2B Connect network.

In the intricate web of global commerce, cross-border payments serve as the lifeblood of multinational corporations, facilitating trade and fostering economic growth. However, unpredictable transactions, high fees, and complicated rules make it hard for companies to manage their money and send it internationally.

The broken landscape of cross-border payments

The underlying cause of these issues is the traditional correspondent banking network, a system containing inefficiencies, opacity, and fragmentation. Historically, banks have relied on correspondent relationships to facilitate cross-border transactions, with one bank acting as an intermediary to process payments on behalf of another. When multiple banks are involved in this chain, the complexity rises rapidly.

Patrik Havander, Head of Visa B2B Connect Europe, comments: “Corporates are fed up with the consistent nasty surprises, delays, lost information, and unpredictability in pricing. It’s just not a great experience.”

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