Businesses seek faster cross-border payments, study shows

By Divya Shah

Businesses increasingly expect cross-border payments to be completed within minutes, but banks are struggling to keep pace with those expectations, according to a new study commissioned by Nium and conducted by Celent. 

The study, which surveyed 210 businesses and 210 banks across 17 markets in North America, Europe, Asia-Pacific, Latin America and the Middle East, found that 65% of businesses want international payments to be completed instantly or within a few minutes. However, only 18% said they currently receive that level of service from their banking providers. 

The study also revealed a disconnect between corporate expectations and bank perceptions. While nearly two-thirds of businesses expect near-instant payment processing, only 29% of banks believe their clients require payments to move that quickly. 

As businesses seek greater speed and flexibility, non-bank payment providers are playing a larger role in international money movement. The study found that 64% of businesses now use at least one non-bank channel for outbound cross-border payments, with more than 15% of surveyed payment volumes flowing through non-bank methods. 

Despite growing competition, banks continue to occupy a central position in cross-border payments. Nearly 70% of businesses believe banks need to modernise their international payment offerings, although many still view banks as key partners. At the same time, 49% of respondents expect their reliance on banks to decline over the coming years. 

Anupam Pahuja, Chief Business Officer at Nium, said the future of cross-border payments will depend on creating a seamless experience across multiple payment options. 

“The future of money movement isn’t going to be defined by banks or non-bank providers alone. Businesses increasingly have different ways to move money depending on what they need. The challenge now is making those options work together without adding more complexity, while giving businesses the choice, speed, and certainty they expect,” he said. 

Beyond speed, businesses are seeking greater predictability and transparency. Ease of making payments emerged as the most important factor when choosing a cross-border payment method, ahead of total cost. Respondents also cited cut-off times, payment tracking and visibility into fees as key areas requiring improvement. 

The study highlighted the financial impact of payment failures. More than one-third of businesses surveyed said delayed or failed payments resulted in vendor dissatisfaction or attrition, while 28% reported disruptions to orders and supply chains. Based on survey data, Celent estimates that failed cross-border payments cost the average business approximately $108,800 annually. 

For banks, the findings point to both challenges and opportunities. Half of the banks surveyed identified cross-border payments as a significant growth area, while more than half plan to expand their capabilities through new technologies and partnerships. Additionally, 58% of corporate respondents said access to additional services from their bank would strengthen customer loyalty. 

Regional results showed varying levels of demand. In Asia-Pacific, 73% of businesses want payments completed within minutes or instantly, yet only 10% currently receive payments at that speed. In Europe, 60% of businesses expressed similar expectations, compared with 20% that currently experience near-instant settlement. 

The findings suggest that while businesses now have more payment options than ever before, speed, certainty and transparency are becoming increasingly important factors shaping the future of cross-border money movement.