Mastercard has unveiled a groundbreaking product, Mastercard Move Commercial Payments, designed to enable banks to facilitate near real-time, predictable, and transparent commercial cross-border payments. This innovative solution was announced at the Sibos conference in Beijing and is set to simplify operations, optimize liquidity, reduce counterparty risk, and provide banks and their clients with enhanced end-to-end visibility.
According to Alan Marquard, Head of Transfer Solutions at Mastercard, “Our latest product innovation directly addresses the current pain points in the commercial cross-border payments market. With this new model, banks can unlock new revenue streams while reducing risk and improving offerings for their corporate customers.”
Cross-border payments have experienced rapid growth, driven by globalized supply chains and international business expansion. Despite this, banks and their customers continue to face challenges, such as slow and unpredictable payments, limited pricing transparency, and operational inefficiencies. Mastercard Move Commercial Payments aims to tackle these issues and capitalize on opportunities within the commercial cross-border payments space.
Key features include:
- Near real-time payments available 24/7, allowing banks to improve corporate trade payments and optimize working capital for intra- and inter-company treasury flows.
- Flexible settlement options to help banks enhance liquidity without affecting FX and deposit-related revenue.
- Multilateral arrangements that reduce counterparty risk and provide certainty on end-to-end transaction clearing in near real-time.
- Compatibility with Swift infrastructure, allowing banks to add corridors and currencies with minimal cost and resource investment.
- Seamless integration with correspondent banking, enabling large clearing banks to extend services to institutional customers without significant process changes.
- Value-added services, such as innovative risk control and fraud analytics, tailored to a bank’s specific needs.
A pilot program in the UK, involving Lloyds Banking Group, UBS, and Fnality as the settlement venue, has already demonstrated the capabilities of Mastercard Move Commercial Payments to deliver near real-time, round-the-clock cross-border transactions.
This new offering is part of the broader Mastercard Move portfolio, which provides fast and secure domestic and international money transfer solutions for both individuals and businesses.
