Barclays is continuing to invest in its transactional FX platform, making it a key priority for 2012.
Transactional FX is where international payments are converted at a point in the payment value chain where the currency conversion benefits the originator bank as well as the beneficiary bank as has traditionally been the case.
A Barclays spokesman said, “This kind of processing system requires constant updates to reflect immediately any changes in payment flows and behaviours. It is handled by a dedicated group of product experts, and we will be adding more functionality and the ability to further fine-tune the processing per originating bank.”
Joerg Pinkernell, head of financial institutions product management, Barclays, said, “There has never been more of a focus on transactional banking, as greater emphasis is placed on maximising revenue sources that are reliable and do not have a major balance sheet requirement. Regulation and competition is only speeding this up.
“Therefore, transactional FX has certainly climbed up the agenda in the past year or two for a growing number of financial institutions as they look to participate in the revenue their clients’ transactions are generating.”
Pinkernell added that Barclays was one of a few “select operators” promoting global transactional FX at Sibos, and it was “generating significant interest across the event”.