Real-time payment systems offer significant potential to accelerate growth and innovation in the payments industry. The advent of new-age technologies including 5G, Blockchain and IoT will support real-time payment systems to attain higher speed, rich context, connectivity, and security, while lowering the overall cost of transactions. Financial institutions accessing the data in real-time will improve the customer experience, fuel connected commerce, and provide new products and services.
Regulators across nations are pushing for real-time payments because the infrastructure has the potential to yield real economic benefits. Transferring funds instantaneously and at a lower cost provides a range of benefits for all parties. The innovation-led growth in the adoption of real-time payments besides increased interoperability and harmonization of data will provide businesses the impetus to transform their real-time payment systems to stay ahead of further and future disruptions.
Benefits of real-time payment systems
The global real-time payment infrastructure has a clear objective to yield systemic benefits for all transaction parties. The core feature of any real-time payment system—the ability to make instant and immutable payment transactions at a lower cost—is the primary benefit for participants. However, Figure 1 shows real-time payment systems offer a myriad of benefits to all players.
Figure 1: Real-time payments benefit all participants.
Wipro’s report, Real-time Payments Accelerated, provides a more detailed look at the benefits of real-time payment systems.
Adopting real-time payments
Adoption of real-time payment systems is driven largely by the inherent characteristics of the local infrastructure, demographics, and a supporting ecosystem. Wipro believes that several factors are essential within a real-time payment system.
How Wipro can help
Wipro has gained extensive expertise in the payments arena while partnering with banks, financial institutions and payment networks in their technology led transformation. We serve clients by modernizing and simplifying their payments technology infrastructure to optimize cost and operations, increase agility, and minimize risk. We can help all sectors develop a transformation roadmap aligned to their business’s regulatory and technology priorities.
With Wipro, a wealth of expertise is available to meet your needs:
This article is part of Wipro's custom analysis and research, a discipline that helps our customers achieve business value. For an in-depth analysis of real-time payment systems, download Wipro’s Real-time Payments Accelerated report.
Vice President, Vertical & Business Head - Americas, Financial Services
Mahesh is Wipro Limited’s Banking and Financial Services industry leader supporting top-tier full-service banks, large payments, and Fintech clients across US and Canada with P&L responsibility. He leverages Wipro’s Digital, Fintech/New Age ecosystem, which includes developing partnerships with leading Fintech players, helping clients assess the Fintech ecosystem and potential implications to their business, and bringing solutions to clients through alliances and implementation.
Senior Manager, Wipro Insights
Shri is the lead for Banking Americas in the Wipro Insights team. He focuses on providing strategic and actionable insights to drive business growth across banking segments including Retail Banking, Corporate Banking, Payments, Specialty Finance, and Fintech. He has previously led multiple engagements for banks including restructuring, corporate strategy, M&A, and transaction diligence.