Corporate treasury faced a variety of challenges in 2022. Rising inflation and interest rates created an economic environment that many in the business had never experienced before, while geopolitical developments and the lingering impact of the pandemic disrupted supply chains and created turmoil in financial markets.
Unsurprisingly, demand for improved liquidity management has increased. Corporates are looking to improve utilization of idle cash balances either to offset cash deficiencies or to fund increased trade volumes, according to Ritesh Jhingan, vice president, global head of cash management at financial software company Finastra.
We should expect to see a step-change in the number of treasurers abandoning traditional banking partners and exploring more innovative partners
“The latter will trigger a requirement for cross-border payments solutions at a lower cost and with significantly reduced cash-in-transit time,” he says.
The greatest change within the treasury space next year will be greater use of technology to optimize cash-flow forecasting, reckons Peddy Hashemi, EMEA head of programme success management at working capital solutions provider Taulia.
“I expect treasurers will double down on the use of technology tools and solutions and move to fully automated solutions if they have not already done so,” he says.
