The cross-border payments sector is undergoing major changes as new technologies reshape how international transactions are conducted. Small and medium-sized enterprises (MSMEs) face significant challenges in this environment, including higher transaction costs and longer settlement times than larger companies. In response, public and private sectors are introducing solutions such as real-time payment systems, blockchain tools, and stablecoins to reduce barriers. Initiatives like the Repository of Innovative Cross-Border Payment Solutions, led by the World Economic Forum and IDB Lab, showcase how digital tools are improving speed, access, and cost-efficiency in line with the G20 roadmap. Services such as Citi Token Services, Félix, and Tpaga allow faster settlements, lower fees, and greater usability, especially in regions with limited financial infrastructure.
These innovations also rely heavily on partnerships between traditional institutions and fintech companies. Tools like Tap Payments and Visa Virtual Cards simplify transactions, while platforms such as PayPal, TerraPay, and ARD App enhance financial access for rural and underserved groups. However, regulatory fragmentation, tax disparities, and security concerns remain key challenges. Greater international cooperation and policy alignment are needed to ensure market fairness, safeguard users, and strengthen trust in these systems. By focusing on interoperability and practical use, digital payment systems are helping MSMEs contribute more fully to global trade.
