21.8 C
New York
Thursday, June 20, 2024

Buy now

spot_imgspot_imgspot_img

Interswitch, World Bank And Others Headline 2024 Global Payment Innovation Report

Interswitch Group has formally unveiled the 2024 Global Payments Innovation Jury Report, in partnership with The World Bank, and other notable international payment players, namely HPS and Fime.
This latest report titled: “Market meltdown – impacts on infrastructure, regulation and innovation” is the 11th in the series spanning 16 years since the inception of the initiative and is sequel to the last edition published in 2022 to coincide with Interswitch’s 20th anniversary. The report reveals incisive insights from senior decision makers across the global payments industry and outlines global payment leaders’ views on how tumultuous macroeconomic changes over the past two years have affected their sector – for better and worse.
With research undertaken in collaboration with World Bank and supported by Interswitch, FIME and HPS, the 2024 Payments Innovation Jury is the most diverse in its 16-year history. 136 Jurors from all over the world participated in the research, all in senior roles at national payments companies, banks, fintechs, payments policy bodies, central banks and investors. This year, the number of central bank & regulators and investors each increased by 25%, enabling an even more representative picture of the challenges and opportunities ahead. The Jury was also delighted to welcome several Jury members from South and Central America for the first time, making the insights gathered truly global.
John Chaplin, Founder and Chairman of the Payments Innovation Jury, and a Senior Advisor to Interswitch comments: “Looking back on the last two years of market turmoil, it feels like this unique insight from industry leaders has never been more needed. Our Jurors’ deep understanding of the causes and effects of macroeconomic changes and their impact on the long-term direction of the payments industry helps all of us understand how we can best move forward and continue to weather the storm
“I am immensely grateful to each of the 136 members of the Jury for thinking through such complex issues and sharing their views, as well as to the World Bank, Interswitch, FIME and HPS. Their participation and support make the publication of these insights possible, and this report is very much their report.”
According to Mitchell Elegbe, Founder and Group Chief Executive Officer at Interswitch: “It is gratifying to see the Global Payments Innovation Jury home in on such a topical and contextually relevant theme for this current research effort, and we are pleased at Interswitch to be collaborating as a sponsor and contributor once again.
We are grateful for the valuable views and insights of experts and leaders representing the jury who are actively shaping the outlook of global payments industry, as well as the commitment and tireless effort of the publication team in ensuring the continuity of this significant initiative which sets the tone for what is to come in the global payments industry.”
The report offers insight into many aspects of the payments industry that were impacted by the recent period of market turmoil. Key findings include:
The primary reason for previously high payment company valuations and funding rounds was investors bidding up deal prices and paying insufficient attention to profitability – a view shared by the investors canvassed.
The above has led to a greater focus on earlier profitability over hyper-growth, which the Jury overwhelmingly regard as a positive for the industry – although there’s a lack of consensus on whether this is a long-term market movement
Businesses developing AI and climate fintech tools and technologies will benefit from the diversion of investment from payments businesses.
In emerging markets where cards have not yet gained a significant foothold, they will struggle to gain cut through when competing with account-to-account payments and mobile money.
Credit and debit cards will be hard to dislodge from their leadership role in developed markets, but growth will be much harder to achieve than previously.
Banks, rather than fintechs or mobile network providers, will ultimately be the major players in mobile wallets globally.
The talent acquisition activities of payment enterprises in developed markets are a significant challenge for those in emerging markets, with almost 60% of Jury members in emerging markets saying that they are losing an unacceptable number of staff with consequential risks to innovation programmes and sometimes even ongoing operations.
High-profile crypto exchanges failures, such as FTX in the US, can impact confidence in global markets – not just where the failures occurred. This is clearly a concern for national regulators but remains complex to address.
APAC retains its crown as the region with the most payment innovations, but perhaps more surprisingly, Africa & the Middle East was a clear second favourite despite Africa’s macro-economic challenges, relatively low levels of investment funding and now a talent drain – a clear tribute to the resourcefulness of the continent’s entrepreneurs and policy makers.
Importantly, it is a foundational practice of the Payments Innovation Jury that all members participate on an anonymous basis, as this allows them to speak freely – unencumbered by the commercial priorities of their current organisation.
Download Market meltdown – impacts on infrastructure, regulation and innovation and all previous Payments Innovation Jury reports at innovationjury.com.
ENDS
For more information or an interview with the report author, John Chaplin, please contact erin.lovett@missive.co.uk.   
About the Payments Innovation Jury 
The Payments Innovation Jury was established by John Chaplin in 2008 to collect and analyse the views of successful payments industry leaders on how innovation happens and then to share their insights for the benefit of the industry. The Payments Innovation Jury, which is a not for profit initiative, produces reports in 3 main areas: 
The Global Payments Innovation Jury, looking at consumer and B2B payments innovation across all 5 continents
Regional Innovation Juries, so far looking at Africa and China  
The Domestic Payments Jury, looking at domestic payments in a series of reports since 2013 

For further information please visit: www.innovationJury.com   
Information on work of World Bank in payment systems
The Financial Inclusion and Infrastructure unit of the Finance, Competitiveness and Innovation Global Practice of the World Bank works to improve the safety, reliability and efficiency of payment systems and Financial Market Infrastructures (FMIs) by providing financial and technical assistance and policy advice to client governments and public authorities. Further, the World Bank contributes to international standard-setting, and curates and disseminates knowledge on payment systems and FMIs.
For more information: www.worldbank.org
About Interswitch
Interswitch is a leading technology-driven company focused on the digitization of payments in Nigeria and other countries in Africa. Founded in 2002, Interswitch disrupted the traditional cash-based payments value chain in Nigeria by supporting the introduction of electronic payments processing and switching services.
Today, Interswitch is a leading player with critical mass in Nigeria’s developing financial ecosystem and is active across the payments value chain, providing a full suite of omni-channel payment solutions. Interswitch’s vision is to make payments a seamless part of everyday life in Africa, and its mission is to create transaction solutions that enable individuals and communities to prosper across Africa. Interswitch’s broad network and robust payments platform have been instrumental to the development of the Nigerian payments ecosystem and provide Interswitch with the infrastructure to expand across Africa.
For more information: interswitchgroup.com , email gmcc@interswitchgroup.com

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

22,832FansLike
3,912FollowersFollow
0SubscribersSubscribe
- Advertisement -spot_img

Latest Articles

Verified by MonsterInsights