CFOs urged to rebalance AI spending towards strategic value

Gartner has warned that finance AI investment is leaning too heavily towards productivity gains, leaving a gap between CFO activity and the strategic impact expected by boards. A 2026 survey of 204 finance leaders by the company found that 45% of finance AI investments are focused on productivity, while only 20% lean towards improving decision quality. Gartner said the imbalance risks making AI adoption look more advanced inside finance than it appears at enterprise level.

Shankar Keshav, principal analyst in the Gartner Finance practice, said: “Many CFOs are prioritising AI use cases focused on productivity and efficiency.” Boards, he added, place greater emphasis on investments that drive growth, improve decision-making and deliver competitive advantage.

Productivity-focused projects can still generate clear savings. Finance teams may automate reporting, reduce manual reconciliation, speed up close processes or make transactional work less labour-intensive. However, Gartner said those benefits can plateau once a task becomes faster or lighter touch, particularly where the change does not improve wider business decisions.

Keshav said this can create “a perception gap, where finance leaders report progress on AI adoption, but boards see limited strategic impact”. In practice, well-run AI pilots may disappoint if judged mainly by hours saved, with limited evidence of their effect on growth or competitive positioning.

Research also showed that finance functions investing in “Upend” AI initiatives, which create new value propositions, products or markets, were more than twice as likely to report high realised value from AI. Such projects are harder to design and govern, but more closely aligned with the outcomes boards are likely to value.

Managing AI investment as a portfolio could help CFOs close the gap. Efficiency projects can sit alongside use cases that improve scenario analysis, strengthen decision-making, identify growth opportunities or build reusable assets such as data, models and institutional knowledge.

Keshav said CFOs need to shift more investment towards AI use cases that “improve decision-making, enable scenario analysis, identify growth opportunities and build reusable assets”.

Metrics will also need to change. Counting pilots, user adoption or time saved may show activity, but it may say little about whether finance is improving decisions across the business. Gartner said CFOs should define AI success through measures tied to enterprise objectives, including short-term and strategic value.

Boards are likely to scrutinise whether finance AI spending can influence pricing, investment planning, working capital, risk appetite and resource allocation. Without that connection, adoption can appear busy inside the function while struggling to justify its place in the wider enterprise agenda.

For finance leaders, the warning is that AI programmes can be busy without being persuasive. Efficiency remains important, but board confidence is more likely to come from evidence that finance AI is improving the quality, speed and commercial relevance of decisions.

 

ECB lines up 36 PSPs for digital euro pilot

Europe’s digital euro project is moving from design work into practical testing, with 36 payment service providers selected to take part in a 12-month pilot across the euro area. Due to begin in the second half of 2027, the exercise will use a beta version of the digital euro that is functionally and technically close to the model set out in draft legislation. It will not have legal tender status, and any decision on issuance will come only after the regulation has been adopted.

More than 50 PSPs applied after a March call for expressions of interest. Selected participants include banks and non-bank providers across the euro area, ranging from large institutions such as Deutsche Bank, BPCE, UniCredit and National Bank of Greece to payment and fintech firms including Adyen, Stripe Technology Europe, SumUp, Satispay Europe and Revolut Bank UAB. 

Piero Cipollone, ECB executive board member and chair of the High-Level Task Force on a digital euro, said strong market interest showed “the private sector’s readiness to engage actively” with the project.

Participation will be split between distributing PSPs, which will give Eurosystem staff access to beta digital euro services, and acquiring PSPs, which will support selected merchants receiving beta digital euro payments. Some providers will perform both roles.

Central bank staff will test the beta digital euro alongside e-commerce merchants and everyday service providers such as cafeterias and restaurants. Use cases will include person-to-person payments online and offline, as well as person-to-business payments at physical points of sale, through Software Point of Sale and via e-commerce, including mobile payments. 

Initial work will take place across the ECB and 19 national central banks in the euro area, including Germany, France, Italy, Spain, the Netherlands, Ireland, Portugal, Austria, Greece and Finland. PSPs may provide pilot services in countries other than the one in which they are established, with the final list of service locations expected later in the year. 

For PSPs, the pilot will test operational issues that matter as much as the technical design: onboarding, account set-up, user experience, merchant acceptance, offline functionality, security and integration with existing payment channels. Those details will influence how far the design can move from central bank testing into wider payment-market readiness.

Results will feed into preparatory work for a possible digital euro. The ECB says any decision on issuance will be taken only after the regulation has been adopted, with the current pilot intended to keep the project aligned with the legislative process.

 

UKEF and British Business Bank target SME export finance

UK Export Finance and the British Business Bank will launch a joint guarantee scheme next spring to widen access to finance for smaller UK exporters. The scheme will target SMEs with export ambitions that struggle to secure finance, particularly those seeking lower-value working capital loans. It will be open across sectors and support lending facilities including term loans and working capital.

Under the model, UKEF will provide a guarantee on a portion of eligible portfolio-level losses, while participating lenders retain a share of the risk. The British Business Bank will assess, onboard and manage commercial lenders taking part.

Designed to reduce lender costs, the portfolio guarantee aims to allow finance to be offered at greater scale to smaller exporters. Wide eligibility criteria and an established lender guarantee structure are intended to reach businesses that may fall outside existing export finance channels.

UK Export Finance chief executive officer Tim Reid said the department exists to ensure “no viable UK export fails for lack of finance”, adding that the scheme was intended to make it easier for SMEs to use international markets.

Access to lower-value working capital remains a persistent barrier for smaller companies trying to export. Lenders may be reluctant to absorb the cost and risk of assessing smaller facilities, even where the underlying export opportunity is viable. A portfolio-level guarantee could help address that economics problem by spreading risk across a wider pool of lending.

Regional delivery will combine UKEF’s nationwide team of export finance managers with the British Business Bank’s Local Growth Team. Both bodies said this should help direct businesses to appropriate support across the UK.

British Business Bank chief executive officer Louis Taylor said the scheme showed how public finance institutions can work together to “amplify each other’s impact” for smaller businesses.

UKEF also recently published its 2025 to 2026 Impact Report, which said the department provided more than £11bn in loans, guarantees and insurance over the past year. UKEF said that support helped UK companies export and grow, supported up to 85,000 jobs and contributed up to £6.4bn to the economy.

A key test will be whether the scheme can attract enough lender participation and deliver smaller facilities efficiently. For SMEs, faster access to working capital could make the difference between treating export demand as a one-off opportunity and building a repeatable overseas sales pipeline.

 

Gibraltar border deal eases post-Brexit business friction

Gibraltar’s border with Spain has been opened following an EU-UK treaty intended to ease movement between the British Overseas Territory and the Schengen area, reducing a long-running source of post-Brexit uncertainty for businesses operating across the UK, Spain and Gibraltar.

Agreed last week by the EU, UK and Gibraltar’s government, the treaty follows years of negotiations over how people and goods would move across the border after Brexit. Its earlier unresolved status had left companies managing extra checks, legal uncertainty and operational friction between Gibraltar and neighbouring Spain.

Removal of the checkpoint at La Linea de la Concepcion should make cross-border staffing, supplier visits and daily movement easier for firms with activity on both sides of the border. Companies using Gibraltar for financial services, insurance, gaming, shipping or professional services also gain certainty around access to Spain and the wider European market.

Laurent Descout, chief executive officer and co-founder of Neo, said the removal of Gibraltar from Spain’s list of non-cooperative jurisdictions was “welcome news for businesses operating across Gibraltar, Spain and the UK”.

Previous classification had created “unnecessary barriers for otherwise sound companies”, he added, particularly where service providers applied extra scrutiny because of jurisdictional risk.

Corporate finance teams are likely to focus on supplier onboarding, banking access, cross-border payments, tax and compliance assessments, and the ability to move staff and goods with less disruption. A smoother border may also reduce contingency costs built up after Brexit.

Viewed globally, the agreement sits within a broader pattern of companies reassessing jurisdictional risk, supply-chain resilience and payment routes. Border frictions, sanctions, tax classifications and regulatory divergence can all change how firms structure operations and choose providers.

Greater integration between Gibraltar, Spain and the UK gives businesses in the region a clearer operating framework. Descout said the agreement represented “an important step towards closer economic integration and stronger commercial ties” between the jurisdictions. 

 

Chinese exports pressure Europe’s manufacturers

Goldman Sachs Research says Chinese exporters are gaining share in Europe, creating a tougher backdrop for parts of the region’s manufacturing sector while leaving major equity indices more insulated than investors may expect.

Chinese companies now account for 23% of imports into the EU, up from 21% two years ago. China has gained ground in industries including automotive, medical technology and chemicals, while Europe’s share of exports to China has fallen sharply since 2020.

“China is buying less from Europe but selling more into Europe, representing a competitive challenge to European manufacturing companies,” wrote Sharon Bell, senior strategist on the European Portfolio Strategy team at Goldman Sachs Research, and colleagues in a report.

Pressure is most visible where Chinese companies are scaling quickly and competing directly with European producers. Carmakers remain a clear concern, with the report pointing to signs that European manufacturers are becoming less competitive.

Market impact has been narrower than trade figures suggest. Bell said technology hardware and semiconductors are producing stronger earnings and gaining greater weightings in key indices, helping offset weakness in more exposed sectors.

Large parts of the European market face different drivers from goods-producing industries. Financial services, telecommunications and tourism are less directly affected by Chinese export competition.

Goldman Sachs Research said European equities have performed well relative to Chinese stocks, partly because overcapacity and a lower focus on shareholder returns have weighed on China’s market performance. The STOXX 600 was up about 8% this year, compared with a 1.5% gain for China’s CSI 300 index, based on local currency price returns as of July 16.

“There are plenty of opportunities in Europe,” Bell noted.

For investors, the research suggests Chinese export pressure should be judged sector by sector. The manufacturing challenge is real, while Europe’s equity story remains broader than its exposure to Chinese competition.

 

Nomentia and COMAVA link treasury to CFO agenda

Nomentia and COMAVA have partnered to connect treasury technology with CFO advisory work, targeting organisations looking to improve cash visibility, bank connectivity, forecasting, payments and treasury processes. COMAVA advises companies on corporate performance management, finance, controlling, ESG, accounting, data foundations and IT infrastructure. Through the partnership, its clients will gain access to Nomentia’s modular treasury capabilities as part of wider finance transformation projects.

For companies operating across multiple banks, systems and entities, treasury data often sits at the centre of broader finance challenges. Incomplete visibility over cash, fragmented bank connectivity and inconsistent forecasting can make liquidity planning harder and leave finance leaders with less reliable information for decision-making.

The partnership is designed to bridge that gap by combining COMAVA’s advisory, tool selection, implementation and change management work with Nomentia’s treasury systems. Areas covered include liquidity and cash flow forecasting, payments, bank connectivity and operational treasury processes.

Zeynel Haser, head of financial performance management and group finance at COMAVA, said the partnership would help clients address treasury requirements including “risk and FX management as well as guarantees”, while integrating those capabilities with existing financial systems.

The agreement reflects a wider shift in finance transformation, where treasury is increasingly treated as part of the CFO’s data and control agenda. Cash visibility, forecast accuracy and payment governance are becoming more closely linked to performance management and operational resilience.

A practical test will be whether advisory work and treasury implementation can be joined without adding another layer of systems complexity. Companies modernising finance processes often need cleaner data, clearer ownership and stronger integration between treasury, accounting, payments and planning tools.

Nomentia and COMAVA said the partnership is intended to help organisations move from treasury requirements into implementation, giving finance teams more visibility and control over cash and liquidity processes.

 

Bottomline brings stablecoin payments into finance workflows

Bottomline has added stablecoin access to its CFO Suite, allowing corporate finance teams to view and manage stablecoin payments inside existing payment and cash management workflows. Available to enterprise and mid-market customers in the UK and US from the third quarter of 2026, the capability is being added to Bottomline’s Cash Management and Payment Hub products. Wider availability is planned later.

Stablecoins have attracted growing interest for cross-border payments, liquidity movement and faster settlement, but many companies still manage approvals, reconciliation and cash visibility through established finance systems. Activity handled outside those processes can create separate records, weaker audit trails and extra operational complexity.

Bottomline said the capability is designed to let finance teams send, receive and manage stablecoins alongside fiat currency and traditional payment methods. Users will be able to view stablecoin activity within existing cash management workflows and apply established approvals, controls and audit processes.

Colin Swain, global head of product for corporate solutions at Bottomline, said adoption depends on whether finance teams can manage stablecoins with “the same visibility, controls, and governance they expect from existing payment methods”.

Payment routing is also part of the planned model, helping finance teams decide how to move money based on speed, cost, liquidity and business need. That could become more relevant as companies evaluate stablecoins alongside bank rails, card payments, ACH, wires and other settlement options.

Initial use cases are likely to depend on corridor, counterparty acceptance and internal policy. Near real-time settlement may appeal where payment timing and liquidity availability matter, although corporate adoption will still require clear rules on approval, accounting treatment, compliance checks and reconciliation.

Stablecoin capability is increasingly being built into treasury and finance platforms rather than left in separate digital asset tools. Practical adoption will depend on whether companies can use these payment methods without weakening the controls that govern existing payment activity.

 

Emirates NBD launches real-time USD payments on Partior

Emirates NBD has gone live on Partior’s blockchain-based clearing and settlement network, enabling real-time cross-border US dollar payments for corporate and institutional clients. The bank said the service is initially available for payments where beneficiary accounts are held at J.P. Morgan, which acted as both settlement and beneficiary bank in a successful live USD transaction. Further currencies, settlement corridors and participating banks are expected to be added as the Partior network expands.

Based in the United Arab Emirates, Emirates NBD says it is the first financial institution in the Middle East, North Africa and Türkiye region to enable real-time blockchain-based cross-border payments through Partior’s infrastructure.

Partior operates a multi-currency clearing and settlement network designed to shorten transaction times and improve visibility over cross-border payments. For corporate and institutional users, faster settlement can support liquidity planning, reduce uncertainty over payment status and improve the timing of treasury flows.

Blockchain-based settlement is gaining attention from banks seeking to reduce friction in correspondent banking without moving entirely outside regulated financial infrastructure. In this case, the service remains bank-led, with payments executed through participating institutions rather than an open retail network.

Initial scope is relatively narrow, focused on USD payments to J.P. Morgan beneficiary accounts. Wider relevance will depend on how quickly additional banks, currencies and corridors join the network, and whether clients can integrate the capability into existing payment, reconciliation and liquidity processes.

Emirates NBD said the launch follows its strategic partnership and investment in Partior. The bank is now working towards connections with other institutions across different currencies on the network.

For companies operating across regions and time zones, always-on settlement could help reduce cut-off constraints and improve visibility over intraday liquidity. Adoption will depend on network reach, pricing, compliance processes and the extent to which programmable liquidity tools can be used in live treasury operations.

 

JCB and Circle explore stablecoin payments in Japan

JCB has signed a memorandum of understanding with Circle to explore stablecoin-based payment and treasury use cases, including internal cross-border fund transfers and merchant payments in Japan. Under the agreement, the Japanese payments company will assess how Circle’s stablecoin infrastructure could be combined with JCB’s merchant network to support cross-border payments and payment experiences for merchants and customers.

A proof of concept using USDC for JCB’s internal fund transfers will form the first area of work. The companies will evaluate whether stablecoins can improve payment efficiency, reduce remittance costs and support broader cross-border flows.

Merchant payments in Japan will also be examined. JCB and Circle plan to test in-store stablecoin payment experiences for Japanese merchants and international visitors, including technology that could support interoperability across multiple blockchain networks.

Interest in regulated digital money is rising across settlement, treasury and cross-border payments. Stablecoins are being assessed as a way to reduce FX friction, speed up settlement and improve cash flow, although adoption still depends on compliance, accounting, customer experience and merchant acceptance.

Circle provides stablecoin and blockchain infrastructure including USDC, EURC, Gateway and Arc. JCB said the memorandum establishes a framework for continued evaluation of stablecoin-enabled payment infrastructure across global payment use cases.

Existing stablecoin work in Japan gives JCB another foundation. In January 2026, it began collaborating with Digital Garage and Resona Holdings on the practical use of stablecoin payments at merchants, including a proof of concept for physical stores.

Merchants may be attracted by faster settlement, lower cross-border costs and simpler payment options for overseas customers. Corporate treasury teams may see stablecoin-based internal transfers as another route for moving funds across markets, provided controls, reconciliation and liquidity processes fit existing systems.

A further test will be whether JCB and Circle can move from evaluation into services that work at merchant level and fit within Japan’s wider payments and regulatory environment.