Treasury Management Internation Logo
Cash & Liquidity Management
Please note: this article is over 9 years old. If you feel this article is inaccurate or contains errors get in touch here . Many thanks, TMI

Leveraging Cash Management Potential in Italy and Across Europe

by Julien Niwinski, Head of Cash Management, BNL Gruppo BNP Paribas

Cash management and payment practices are converging across Europe, particularly as a result of the Payment Services Directive (PSD) that creates greater standardisation. At the same time Italy, like other countries, retains some specific features in its cash management and payments landscape. Companies thus more than ever look for support to address the strategic challenges of implementing consistent payments and cash management solutions across Europe.

International expansion amongst Italian companies

In our discussions with clients we see that the main current challenge for Italian companies and foreign companies located in Italy is in achieving visibility and control over cash at a regional or global level. While these have been long-standing objectives for larger multinationals, the need to manage liquidity and risk on a global level is increasingly a requirement for mid-sized corporations that are expanding internationally. This is a particular issue in Italy, where a large proportion of the economy is comprised of mid-cap companies that generate a significant share of their revenues outside of Italy and have an extended international presence. One of the challenges for these companies is that while they have the same aspirations as their larger peers, budgets, technology and resources are typically more constrained, and access to financing may not be as easy.

Supporting corporate ambitions

To address the liquidity and risk management needs of these mid-sized companies, which typically have revenues from €0.5 – 1bn, as well as our larger corporate clients, we are focused on delivering cash and treasury management solutions that address their current and future requirements. We focus on optimised business processes, automation, and efficiency, so these companies can achieve their global objectives such as visibility and control on cash, liquidity optimisation and risk management- without the need to invest substantially in resources or technology.