How did the COVID-19 pandemic accelerate digital payments services in Latin America? BNY Mellon’s Dino Sani explores in an interview with Latin Finance

Although the ongoing pandemic brought significant disruption, it is also having the positive effect of bringing the digitalization agenda to the fore. And as flows of funds between Latin America and the rest of the world are returning to normal levels, the pandemic has precipitated a permanent change by speeding up the adoption of digital payment services, says Dino Sani, Head of Treasury Services for Latin America at BNY Mellon.

“BNY Mellon was already in this journey toward digitalization but COVID-19 accelerated the process,” Sani said. “And there’s a dramatic impact on our business.”

Latin American banks have been quick to embrace Swift’s Global Payment Initiative (GPI), a collaborative project in which participating banks build on an open platform (API) to add speed and transparency to international payments, according to Sani. And although Latin America’s economies to face a difficult year in 2021 as they open slowly, Sani expects an economic recovery to get underway. “We are seeing some light at the end of the tunnel,” he said.

To read the full article, click here.

In an interview with Banking Dive, BNY Mellon’s Carl Slabicki explores the transformation of the B2B payments ecosystem and the importance of ensuring quick, secure and efficient payments.

Peer-to-peer payments have made consumer transactions cheap and efficient, but the business payment landscape lags, with 47% of B2B payments in 2019 made through cheques.

In recent years, BNY Mellon has been working to embed additional communication, reporting and security measures within B2B payments, ensuring payments are quick, secure and allow for documentation to be exchanged alongside the transactions.

“From a payments perspective, we’re ultimately saying, ‘What can make a payment move safer, more predictable, faster, and provide more transparency to the parties involved?'” Carl Slabicki, Head of Strategic Payment Solutions at BNY Mellon Treasury Services said. “Whether it’s a distributed ledger technology that can do that, or whether it’s a digital currency that can do that, we’re openly exploring all of these.”

To read the full article, click here

In an interview with Finextra, BNY Mellon’s Isabel Schmidt explores the changes in thinking towards ISO 20022 over the last decade

Published in 2010, SWIFT’s guidebook ‘ISO 20022 for Dummies’ presents a useful tool to gauge the changes in thinking toward ISO 20022 over the last decade. In an article with Finextra, Isabel Schmidt, Global Head of Direct Clearing and Asset Account Services, BNY Mellon Treasury Services, explores how assertions and predictions made about the migration have played out over the last decade.

Schmidt explains that while a lot of industry discussions currently focus on payment messages and core cash management messages, “overall thinking has also evolved to embrace the concept that a more robust payment message also provides the basis for major efficiency potential in the pre- and post-payment exception and investigations space.”

Schmidt explores how SWIFT’s first attempts to help banks improve this space dates back over 10 years when the E&I initiative was launched and that unfortunately the initiative lacked a sufficiently robust standard to really enable comprehensive automation of exception workflows.

“This space is now being revisited, based on more structured and more robust payment data which the ISO 20022 standard will provide. This is a considerable incremental efficiency opportunity for banks and a further step towards a much-enhanced client experience end-to-end.”

To read the full article, click here.

 

In The Asian Banker, BNY Mellon’s Joon Kim and Arnon Goldstein explore how the bank is digitising to support clients and increase internal efficiency

While global trade volumes have been down significantly in 2020, Joon Kim, the Global Head of Trade Finance Product and Portfolio Management at BNY Mellon, sees “a cautious sense of optimism and recovery” by the latter part of the fourth quarter of this year and the beginning of next, at the macro-level.

Arnon Goldstein, Head of Treasury Services for Asia Pacific at BNY Mellon, observed overall decline in payment volumes, underlining weakness in clients’ demand, but an increase in liquidity, especially in local currency and dollar liquidity as lending demand has been depressed.  However, any rebound in volume will be uneven as some economies continue to grapple with the COVID-19 pandemic.

The disruption to traditional supply chains and logistics has precipitated the need to strengthen business continuity planning to increase institutions operational resiliency and ability to operate remotely. Processes have to be streamlined and enhanced to incorporate alternative digital solutions, such as e-signature and biometric-enabled authentication and authorisation, to replace traditional manual ones. The bank is pivoting to digital alternatives, such as web-based meeting, and digitising more of its internal as well as clients’ processes in order to facilitate client transactions and increase efficiency.

To watch the interview, please click here.

UniCredit’s Adeline de Metz explores the importance of supporting supply chains during the COVID-19 pandemic in TRF News

The COVID-19 pandemic is shining a spotlight on the importance of stable supply chains – and their role in achieving business continuity. Buyers are markedly more conscious of the impact their suppliers have on their ability to provide services and are increasingly using sophisticated digital tools to help protect them.

Adeline de Metz, UniCredit’s Global Head of Working Capital Solutions explains how corporates must continue to optimise working capital strategies and use tools such as reverse factoring and digital dynamic discounting – which have, promisingly, seen increased adoption since the beginning of the crisis – in order to bolster supply chains and help lay the foundation for economic recovery.

To read the article, please click here.

Pandemic risks eclipse treasury priorities as businesses diversify investments to mitigate impact, EIU and Deutsche Bank survey finds

The Covid-19 pandemic has shunted aside existing challenges to sit atop treasurers’ priority lists, according to “The resilient treasury: Optimising strategy in the face of covid-19”, a survey run by the Economist Intelligence Unit (EIU) and sponsored by Deutsche Bank.

The results show that treasurers are looking to diversify their investments in a bid to mitigate the pandemic impacts, including heightened liquidity, foreign-exchange and interest-rate risk. As many as 55% plan to increase investments in long-term instruments, with 48% increasing investments in bank deposits, another 48% in local investment products, and 47% in money-market funds.

“The Covid-19 pandemic has drastically altered business plans in 2020. It has placed a certain level of strain on treasury processes, but the challenge it presents has been managed by traditional treasury skills. It is clear that pandemic risk will be on the treasury checklist for years to come, but it is one of many risks the department faces and will continue to manage,” says Melanie Noronha, the EIU editor of the report.

The news was covered by: TMI, Treasury Today, CTMfile, Business Money, Trade Finance Global.

In Bolivia’s El Diario, BNY Mellon’s Tom Meiman and Sam Schwartzman explore the volatile US liquidity landscape and the tools to optimise cash

Following the COVID-19 pandemic, the US liquidity landscape is changing. With low-interest rates already dominating the US because of the 2008 financial crisis, treasurers face greater challenges as they navigate today’s volatile market conditions.

Against this backdrop, Tom Meiman, Product Line Manager for Liquidity Balances and Demand Deposit Account Services, BNY Mellon Treasury Services, and Sam Schwartzman, Head of the IMG Cash Solutions Group, BNY Mellon Markets explore how cash managers can use investment and deposit accounts to effectively optimise their surplus operating cash.

 Click here to read Part One and Part Two (the articles have been published in Spanish).

BNY Mellon’s Carl Slabicki speaks to Payments Journal on the evolution of payments in the US

As new real-time payment options emerge and legacy systems are modernised, the payments industry is experiencing a shift from paper to digital processes. This trend is being reinforced by the current challenging environment, which is forcing businesses to rely on the digital environment more than ever.

Against this backdrop, in an article for Payments Journal, Carl Slabicki, Head of Strategic Payment Solutions at BNY Mellon explains that it is critical that banks keep pace with the rate of change – supporting clients as they undertake their own digital journeys.

Read the full article here

BNY Mellon becomes the first US bank to offer the SWIFT gpi Case Resolution Service

BNY Mellon has collaborated with SWIFT to be the first U.S. bank to offer the gpi Case Resolution service to clients, and the fifth globally. This offering marks another milestone in BNY Mellon’s commitment towards client-centric payment services and leading the path for other global payments innovation (gpi) initiatives.

“BNY Mellon is leading the way in automating payment processes, reducing the costs and time associated with managing payment inquiries,” said Michael Bellacosa, Global Head of Payments and Transaction Services, BNY Mellon. “This solution will vastly improve the time to resolve an inquiry, ensuring invoices are paid on time, reducing fraud, and better meeting client expectations.  Ultimately, creating straight-through processing for inquiries has been long overdue and will eventually become the global standard.”

Following outreach, the news was covered by FinExtra, FinTech Insights, Banking New York, Banking CIO Outlook, Supply & Demand Chain Executive, Money Transmitter Law, CTM File, IBS Intelligence, Financial IT, The Paypers, Documentary Credit World.