Swift tests AI blueprint for cross-border fraud prevention

Swift has unveiled results from a series of experiments that show how artificial intelligence (AI) and secure data collaboration could help banks combat international payments fraud more effectively. Working with 13 global financial institutions and partners such as Google Cloud, the cooperative tested privacy-enhancing technologies (PETs) that allow banks to share fraud-related intelligence across borders without exposing sensitive customer data. In one case, PETs enabled participants to verify intelligence on suspicious accounts in real time, potentially cutting the time needed to trace complex networks and stop fraudulent transactions.

Another test combined PETs with federated learning, an AI technique that “visits” institutions to train on local data without requiring it to be shared. Using synthetic data generated from ten million transactions, the model proved twice as effective at spotting known frauds compared with one trained on a single institution’s dataset.

Rachel Levi, head of AI at Swift, said: “The industry loses billions to fraud each year, but by enabling the secure sharing of intelligence across borders we’re paving the way for this figure to be significantly reduced, and allowing fraud to be stopped in a matter of minutes, not hours or days.”

The cooperative now plans to expand participation and run a second phase of experiments using real transaction data. The goal is to demonstrate how the technologies perform in live conditions and to quantify their potential in preventing losses across the payments industry.

The initiative comes as financial crime continues to impose heavy costs on banks and corporates alike. Fraud in the global financial system was estimated at US$485bn in 2023. Swift has more than 50 AI use cases underway across proofs of concept, pilots and live applications, including its recently launched AI-enhanced Payments Controls Service aimed at helping smaller institutions detect suspicious transfers more effectively.

Participating banks stressed the importance of collaboration. David Buckthought, head of technology - payment services and digital assets at ANZ, said the federated learning tests showed how institutions can strengthen their defences by working together. Enrico Canna, head of anti-fraud and customer protection at Intesa Sanpaolo, added that fraud “increases friction in the ecosystem and causes significant costs at an industry level,” making cross-industry cooperation essential.

Isabel Schmidt, executive platform owner at BNY, said: “Security is paramount in cross-border payments. Using the latest technologies, this group has achieved results that show how these tools can be used to uplift the entire ecosystem and demonstrate the value of the Swift co-operative in bringing competitive organizations together behind a greater good, while driving standards in security and enhancing the experience of all stakeholders.”

Swift expects the next stage of testing to lay the foundations for industry-wide deployment, with the aim of making cross-border payments both faster and more secure.

 

Dollar turbulence drives FX hedging boom among North American fund managers

North American fund managers are stepping up their use of currency hedging as dollar volatility reshapes risk management priorities, according to MillTech’s North American Fund Manager CFO FX Report 2025. The survey of 250 senior finance decision makers across the US and Canada found that 85% now hedge forecastable currency risk, up from 79% in 2024 and 72% in 2023. The shift comes after the dollar posted its worst first-half performance since 1973, with politically driven trade policies, fiscal concerns and expectations of Federal Reserve rate cuts driving uncertainty.

While 99% of respondents said their returns had benefited at some point from these swings, more than a third (37%) admitted to losses from unhedged exposures. Almost all (99%) said dollar volatility remained a concern, and 70% of those not currently hedging are considering doing so, a dramatic increase from only 16% in 2024.

The survey revealed a mixed picture on hedging ratios. The mean hedge ratio slipped to 45% from 55% last year, while average hedging tenors shortened slightly to five months. Yet 54% of respondents said they were now increasing hedge ratios and 52% were extending hedging lengths in a bid to defend portfolios against further volatility.

Rising costs remain a central obstacle. Ninety-nine percent of managers reported steep increases, with the average cost up 57%. Over half (58%) saw costs rise between 50% and 100%, and 5% reported increases of more than 100%. Among funds that avoid hedging, two in five cited cost as the main deterrent.

Options usage has surged, with 95% of funds increasing their reliance on the instruments to manage swings in the dollar. Currency swaps (53%) and FX swaps (52%) were the most widely used hedging products overall, followed by spot transactions (48%) and options (42%).

Respondents also identified shifting priorities for their FX operations. Automation and cost transparency ranked highest (40%), overtaking last year’s emphasis on counterparty credit ratings and uncollateralised hedging. Settlement (49%), price discovery (47%) and risk identification (46%) were the most common areas earmarked for automation.

AI is increasingly seen as part of the solution. Forty-two percent of funds already deploy AI in FX operations, while a further 35% are actively exploring its potential. Outsourcing remains universal, with every fund surveyed delegating at least part of its FX processes to external providers, most often to access specialist expertise (36%), manage compliance (34%) or scale operations (32%).

For many fund managers, the turbulence of 2025 has been a reminder of how quickly markets can turn. As Eric Huttman, CEO of MillTech, put it: “The pendulum has swung from a strong dollar to sudden weakness, and funds have learned the hard way that FX risk can no longer be left to chance.”

With costs rising but the risks of inaction greater still, the study suggests proactive FX management is becoming a permanent fixture of fund strategy.

 

China set to accelerate semiconductor investment

China’s investment in semiconductor technology is expected to grow more quickly than previously forecast, according to new analysis from Goldman Sachs Research. Capital expenditure in the sector is projected to rise from US$43bn in 2025 to US$46bn annually by 2030, marking upward revisions of 2-6% compared with earlier estimates.

The increase is underpinned by strong domestic demand for microchips, rising adoption of generative AI, and ongoing improvements across China’s semiconductor ecosystem, writes Allen Chang, head of the Greater China Technology team at Goldman Sachs Research.

“We expect the investment focus to shift more towards memory and advanced node technologies, and to industry leaders who will be able to continuously expand and upgrade to more advanced technologies,” Chang writes in the report.

China’s semiconductor spending rose 19% in 2024 compared with the prior year, sparking concerns about a potential slowdown. However, Goldman Sachs Research believes leading firms will sustain investment to capture market share and keep pace with technological progress.

A significant share of this spending is expected to go towards wafer fabrication equipment (WFE), the specialist tools used for lithography, etching and deposition in chip manufacturing. Chang’s team sees “considerable scope for semiconductor capacity growth for Chinese suppliers, especially in high-end logic and memory markets.”

Between 2025 and 2027, China’s WFE revenues could reach 38% of the global total, up from 22% in 2022, according to the research. The projections highlight China’s continued strategic push into semiconductors, a sector central to both global supply chains and domestic technology ambitions.

 

Gartner outlines four-step approach for CFOs managing layoffs

CFOs and finance leaders should adopt a structured approach to workforce reductions to balance cost savings with long-term organisational needs, according to research shared at the Gartner CFO & Finance Executive Conference in London.

Gartner noted that nearly two-thirds of large public companies announced cost-cutting measures between 2023 and the second quarter of 2025. Many conducted three or more rounds of layoffs but often failed to achieve meaningful reductions in operating expenses. Headcount cuts have become an increasingly common tactic, with data from Gartner’s Global Talent Monitor showing a steady rise in employees experiencing layoffs since early 2024.

“Nearly two-thirds of large, public organisations announced cost-cutting efforts between 2023 and 2Q25,” said Vaughan Archer, senior director analyst at Gartner. “Despite most of them conducting three or more rounds of cuts, they often failed to reduce operating expenses.”

Gartner recommended four steps for CFOs and finance leaders facing such challenges. First, workforce reductions should be targeted to support enterprise margin goals rather than spread evenly across departments. Factors such as strategic importance, benchmarking against peers, and the feasibility of automation or relocation should be weighed before making cuts.

Second, finance teams should equip budget holders with tools to shortlist candidates based on alignment with future business strategy and revenue impact. This approach avoids arbitrary methods such as “last in, first out,” which can undermine performance and strategic priorities.

Third, CFOs should ensure mechanisms are in place to prevent costs from resurfacing after layoffs. Without tracking, reductions can be offset by increased contractor hiring, overtime or rapid rehiring. Finance and HR teams can collaborate to monitor departments where cuts have already been implemented and develop measures to minimise the risk of cost re-emergence.

Finally, clear communication is essential to maintain trust and retain key talent. Poorly managed communication can damage morale, create rumours and reduce productivity among remaining employees. Gartner advised tailoring communication strategies to organisational circumstances, ensuring both departing and retained employees understand the rationale and financial impact of decisions.

Archer said effective communication must focus on preparing managers to deliver layoff notifications sensitively, while also ensuring high-performing staff remain engaged and motivated after reductions are made. The four-step framework underscores the importance of finance leaders playing an active role in shaping workforce strategies, not just meeting immediate budget targets. Gartner concluded that organisations that link layoffs to long-term goals, monitor cost outcomes and manage communication effectively are more likely to achieve sustainable savings while preserving critical talent.

 

Mastercard brings embedded virtual cards to Australian businesses

Mastercard has launched an embedded virtual card payment capability in Australia, with Westpac becoming the first commercial issuer to activate the solution for clients using Oracle Fusion Cloud Enterprise Resource Planning (ERP).

The integration brings Mastercard’s virtual card technology directly into Oracle’s B2B platform, allowing businesses to manage payments from within their existing ERP environment. By embedding virtual cards into enterprise workflows, firms gain real-time visibility of cash flows, greater control over spending, and improved working capital management. The solution also streamlines supplier onboarding, centralising financial processes within a single system of record.

For Australian corporates, the move is intended to address long-standing frictions in commercial payments. Manual processes have often slowed operations, tied up working capital, and created inefficiencies in reconciliation. Embedding payments directly into Oracle Cloud ERP reduces reliance on custom integrations or third-party systems, offering automated reconciliation and enriched remittance data that simplify the payment lifecycle for both buyers and suppliers.

The development is expected to benefit a wide range of businesses, from corporates to government entities, by enabling faster payments, improving transparency, and reducing operational costs. For finance teams, automation reduces human error and frees resources to focus on more strategic activities.

The launch marks a further step in Mastercard’s global partnership with Oracle and highlights the growing focus on digitising business-to-business payments. With Westpac first to bring the service to market, Australian organisations are positioned to lead adoption of embedded virtual card technology, setting the stage for wider deployment across the Asia Pacific region.

 

Treasury4 acquires TreasuryGo to boost data-first treasury solutions

Treasury4 has announced the acquisition of TreasuryGo, expanding its enterprise-grade capabilities in bank account management, workflow, and debt management. The move is intended to strengthen Treasury4’s position as a practitioner-built, data-first treasury management provider for both fast-growth firms and large multinationals with complex liquidity needs.

The acquisition brings together two experienced treasurers. Ed Barrie, co-founder and chief product officer of Treasury4, has led global treasury operations and helped design solutions to meet real-world challenges. George Zinn, co-founder of TreasuryGo and the longest-serving treasurer at Microsoft, will join Treasury4 as chief strategy officer.

“Our vision for Treasury4 has always been to build a scalable, data-focused platform that grows with our customers as their needs evolve,” said Barrie. “The addition of TreasuryGo accelerates our mission to deliver the most comprehensive, data-first treasury solution in the market.”

“Having led treasury operations for one of the world’s largest companies, I understand the distinctive challenges global organizations face,” said Zinn. “By combining TreasuryGo’s strengths with Treasury4’s modern platform, we’re creating a solution that delivers the data visibility, intelligence, and agility treasurers need in the most demanding environments.”

Together, the combined platform will deliver enhanced workflows, AI-ready infrastructure, and a modern data architecture. The companies say this will provide treasurers with a clear upgrade path beyond spreadsheets and legacy systems, enabling greater performance, flexibility and intelligence in treasury operations.

 

U.S. Bank launches suite to simplify global cash management

U.S. Bank has introduced a suite of global liquidity solutions aimed at helping U.S.-based companies, particularly mid-sized firms, gain greater control of their cash as they expand internationally. The offering is designed to address growing exposure to overseas markets, banking risks and foreign exchange volatility.

At the centre of the suite are Foreign Currency Accounts (FCAs), which allow businesses to hold balances in up to 23 currencies, including the euro, pound, yen and Australian dollar, while keeping funds in the U.S. under FDIC insurance. This approach enables companies to manage supplier and customer payments more efficiently, reduce the frequency of conversions and better mitigate FX risk.

Alongside FCAs, the suite includes a multi-bank reporting dashboard that consolidates visibility across international accounts, foreign currency time deposits that allow firms to earn interest on excess balances, and functionality to accept payments in euros and pounds, credited directly to U.S.-based accounts.

The solutions are particularly valuable for firms that want to simplify banking structures without opening accounts abroad. By centralising liquidity in the U.S., businesses can lower operational risks, cut foreign exchange costs and react more quickly to shifting market conditions.

U.S. Bank highlighted the accessibility of these services for mid-sized companies, a segment that has often lacked the resources to manage complex cross-border banking relationships. With global trade conditions uncertain, the new suite aims to provide U.S. corporates with a more straightforward way to safeguard currency holdings and optimise working capital while supporting growth in overseas markets.

 

Monex Canada unveils digital client services desk

Monex Canada has opened a Toronto-based Digital Client Services (DCS) Desk to strengthen support for businesses using its Monex Pay platform. The move reflects rising demand from Canadian firms for tailored assistance in managing cross-border payments and foreign exchange (FX) activity.

Monex Pay enables companies to make secure, multi-currency payments to more than 100 countries, offering same-day, spot and forward execution. The addition of the DCS Desk gives clients direct access to specialists who can help them navigate complex transactions, shifting regulations and volatile FX markets.

Canadian businesses engaged in international trade often face challenges ranging from varying banking practices to sudden currency fluctuations. The DCS Desk is designed to provide a high-touch service model, complementing the platform’s digital capabilities with practical guidance. By combining online access to live exchange rates and batch payment functionality with expert advice, the service aims to help firms optimise execution, manage risk and avoid operational disruption.

Staffed around the clock, the desk will support clients in tasks such as initiating bulk payments, resolving technical issues and adapting to market changes. This is intended to improve the speed and accuracy of international transactions, which are increasingly critical as global competition intensifies.

The initiative is part of Monex Canada’s broader strategy to expand its presence in the country as more firms increase overseas trade activity. Growth has been particularly strong in sectors such as manufacturing, wholesale and retail trade, financial services and professional services, each requiring customised solutions to manage cash flow and currency exposure.

 

ClearBank expands real-time banking to corporates

ClearBank has expanded its account and payments services to UK corporates, aiming to bring real-time transaction banking to sectors traditionally reliant on slower, legacy infrastructure.

While retail banking has rapidly digitised, transaction banking for businesses has often lagged behind. Many corporates still rely on batch-based systems and bundled products that prioritise credit and trade finance over operational efficiency. This has left firms struggling with manual reconciliation, slower payments, higher costs and an increased risk of errors.

ClearBank’s proposition is to focus on core banking and payments infrastructure rather than credit services, delivering API-based access to Bacs, CHAPS and Faster Payments. Already serving more than 10% of the UK SME market through partners such as Capital on Tap and Tide, the bank processes millions of payments daily and holds billions in deposits. Extending these services directly to corporates in sectors including travel, hospitality, payroll and technology is designed to enable faster workflows, greater transparency and improved cash management.

Embedded banking is a further strand of the expansion. Businesses are increasingly looking to integrate financial services directly into their customer experience, both to improve efficiency and to develop new revenue streams. ClearBank’s infrastructure allows corporates to offer embedded payments, accounts and savings products without having to secure a banking licence or stitch together multiple providers.

Emma Hagan, CEO of ClearBank UK, said digital transformation has shifted expectations across the economy, making traditional one-size-fits-all approaches to transaction banking “no longer fit for purpose.” She added that bringing real-time payments and banking directly to corporate businesses represents “a significant moment for both ClearBank and UK businesses,” offering the chance to replace outdated processes with greater speed, transparency and reliability.

 

Ant International’s Bettr debuts AI receivables financing

Bettr, the embedded financing and technology provider under Ant International, has launched an AI-driven accounts receivable financing solution aimed at global e-commerce platform vendors. The service is designed to give online sellers rapid and secure access to working capital ahead of the year-end shopping season.

The new product targets one of the biggest challenges faced by e-commerce vendors: the need for flexible funding to cover inventory, marketing and operational costs during peak demand. By embedding alternative data-based credit assessment into the e-commerce ecosystem, Bettr’s platform aims to deliver financing decisions at speed, tailored to each vendor’s specific requirements.

The system draws on real-time business data including invoices, sales history and customer ratings to generate instant credit risk assessments. Loan offers are then provided at competitive rates, with a streamlined application process that integrates directly into sellers’ existing workflows.

Security is a central feature of the platform. Continuous monitoring ensures that transactions are assessed in real time, with fraud detection and risk controls embedded into the process. This approach is intended to balance the need for rapid credit approval with robust safeguards to protect both vendors and lenders.

 

Payslip unveils AI suite for global payroll

Payslip has launched “Payslip Alpha,” a new suite of AI-driven features designed to transform global payroll operations. The rollout follows five years of investment in artificial intelligence and builds on the company’s core focus on data standardisation and centralisation.

The product suite is structured around three pillars. Alpha Assist provides task-focused tools that help with mapping and categorising pay elements, aiming to reduce manual effort and free teams to focus on higher-value work. Alpha Agent automates processes such as running validation reports, supporting faster and more accurate payroll execution. Alpha Intelligence analyses payroll data in real time to detect anomalies and surface insights that may otherwise be missed.

Unlike general-purpose AI models, Payslip Alpha has been built specifically for payroll, with features designed to enhance rather than replace the role of payroll professionals. Early adopters, including multinational clients, have reported efficiency gains of up to 92% across operational processes.

The system has been developed with a strong emphasis on security, auditability and accuracy, ensuring payroll data is handled transparently and reliably. Customers retain full control, with the ability to enable or disable individual AI features in line with their internal policies.