Embedded treasury raises data integrity challenges
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Embedded treasury raises data integrity challenges

There is pressure on corporate treasurers to maximise the benefits of embedded finance, despite the lack of additional resources.

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Global transaction flows from embedded payments could surpass $2.5 trillion by 2028, according to Juniper Research. This has implications for embedded treasury, a subset that deals specifically with the integration of treasury management tools and services into a company’s existing systems and processes.

An embedded treasury model leveraging APIs allows payment requests to be originated, approved and released within the messaging system, eliminating the need to switch between multiple systems and log-ins.

Félix Grévy, Kyriba

“Treasury-centred API systems can also improve cash-flow management and strengthen transparency of the overall payment life cycle and act as a catalyst for upstream or downstream process or system modernization,” explains Félix Grévy, vice-president product open API and connectivity at Kyriba. “The same system can immediately process requests for loans, improving synchronization with treasury management systems.”

François Masquelier, chief executive of Simply Treasury, reckons currency-management automation is the best ‘real economy’ business case, stating that companies can leverage embedded finance for FX transactions, managing currency exposure at the source of the underlying exposure.

“The most important element is to identify as soon as possible the underlying exposure by being connected to tools to manage those risks and report them to treasury immediately,” he says.

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