HSBC has announced the launch of a multi-currency digital wallet that enables businesses to make international payments simply and securely. HSBC Global Wallet is a multi-currency offering designed to remove the need to use third-party providers for foreign exchange (FX) and international transactions.
The solution is being launched initially for customers in Singapore, the UK and the US, giving them instant access to US dollars, euros, UK pounds, Canadian dollars, Hong Kong dollars, Singapore dollars, Australian dollars and Malaysian ringgit. HSBC clients in those countries can now send money, hold and manage cash in these currencies.
The multi-currency wallet uses the bank’s global payments network and is fully integrated with the bank’s existing business banking platform, which HSBC says enables customers to 'pay like a local'.
"We are excited that the US is one of the first markets in which we are launching HSBC Global Wallet," said Drew Douglas, head of Liquidity & Cash Management, US and Canada at HSBC. "As we continue to focus on making international business easier and more efficient, this innovative solution will allow our commercial US clients to more effectively manage their foreign currency balances locally and to pay internationally like a local. We are excited for the launch and looking forward to expanding the breadth of currencies as we move forward and to introducing receive ‘like a local’ functionality in the very near future."
HSBC says that it is taking an agile product development approach and rolling out digital innovations that address the needs of businesses. The Global Wallet will roll out to further markets in 2022, and the bank says it has a pipeline of new currencies and enhancements.
Tackling transaction troubles
HSBC's Global Wallet is a solution designed to overcome the biggest transaction problems that face companies who trade internationally. Sending money internationally is often a complex and time-consuming process, with foreign exchange rates frequently unmanaged and high transaction fees. Some 40% of small and medium-sized enterprises say that currency fluctuations are their biggest concern when making and receiving payments overseas, according to a survey for HSBC UK. Another 20% are most concerned about the speed of payments.
Targeted at small- and medium-sized U.S. businesses with international supply chains, HSBC Global Wallet enables payments to be delivered to a beneficiary’s account usually within minutes of being sent. Companies benefit from managing FX upfront and ensuring the correct amount settles in the accounts of their international suppliers and vendors. Thus HSBC Global Wallet allows businesses to operate globally with greater confidence.
"This is such a powerful product," said Munir Patel, CEO of UK-based XRail Group, a rail services supplier that trialled HSBC Global Wallet during its pilot phase. "For companies looking to expand internationally, to have an instant account facility with these local capabilities is amazing."
"HSBC Global Wallet makes it just as easy for our customers to deal with a supplier or a client on the other side of the world as it is to deal with one on the other side of town," commented Diane S Reyes, global head of Liquidity and Cash Management at HSBC. "By fully integrating this solution into our everyday business banking platform we’re giving our clients a virtual presence in markets around the world."
A global local experience
HSBC Global Wallet provides instant access to currencies from within customers’ day-to-day banking platform, allowing for greater visibility of cash flow, and is backed by the trust and security of HSBC’s global network, with more than 1.3 million business customers in 53 markets.
Each currency wallet works like a local account, enabling international payments to the UK, US, Canada, Hong Kong, Singapore, Australia, Malaysia and the 19 markets in the Eurozone made over domestic real-time payment networks.
Research conducted by HSBC for its annual Navigator survey revealed that 87% of US businesses see expansion into new markets as an immediate priority. The same percentage said digital tools and platforms were a priority, while 92% said they would be prioritising cash flow and capital management.
Building on multi-currency tools
The new wallet is the latest in multi-currency solutions from the bank. HSBC USA was the first market to launch the Global Money Account, in November 2020. This multi-currency account allows HSBC Wealth and Personal Banking customers to convert, hold and transfer multiple currencies from one account, allowing them to hold up to eight currencies at once and send money to more than 15 countries to other eligible HSBC accounts instantly and fee-free. In the coming months HSBC will be rolling out additional features.
"HSBC Global Wallet users can build trust with their own customers and suppliers in other markets with faster, more reliable international payments and receipts - and have confidence in growing their businesses internationally," said Richard Bibbey, head of FX, Emerging Market Rates and Commodities at HSBC.
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