All the global leaders which include Citi group and HSBC Bank are now putting a lot of effort to sell their day to day banking services to all the new technology firms of Asia. This will result in the growing of competition in traditional transaction banking.
The daily transactions of banking business will refer to all the services that will deal with all the operational needs of the companies which include cash management, financing and facilitating payments.
Asia is now the largest trade region in the world and this is why all the banks are trying to work in this marketplace. The trade between the United States of America and China has been going on for a long period of time, but it has not affected any business here. It is expected that all the changes and the new tariffs will start from the 1st of January and according to analysts, the changes will be big for everyone.
Asian economies and trade will affect heavily because of the trade war in the near future. The main target of all the banks now are all the e-commerce websites in India. This is why all the banks are trying to crack a deal with Flipkart or Paytm.
Asia is now looking for digitization of cash so that they are able to increase the demand in real time. This task will not be easy because of the marketplace getting affected by the trade was between China and the United States of America.
Cash management is very much important for all the e-commerce websites because these companies generally work on distribution chains so it is very important for them to make sure that the cash flow is done correctly.
Banks have been able to see a huge growth in the area in the past a few months. All the leading banks are trying to crack a deal with the e-commerce website because they know how much revenue they will be able to generate because of these websites.
The digital commerce market, which is present in the Asia Pacific is all set to reach $1.1 trillion by the end of the year 2020 and this is why the end of this year is the perfect time for the banks to get associated with these websites. The start of 2019 will bring a lot of changes because of the trade war.