Regulatory Uncertainty Among Payments Executives, Survey Says
A recent survey from Fundtech has highlighted pronounced differences between members of the corporate and banking communities on the matter of further government regulation, as well as an overall trend towards increasing value-added services in the industry.
Among survey participants, the most contentious issue was whether further government regulation of the financial industry is necessary to prevent future financial crises. There is strong agreement (76% of respondents) that new regulations are not needed to prevent future financial crises. By sector, however, opinions are much more divided: 37% of corporate respondents see the need for further regulation, while only 19% of bankers believe this is necessary.
Sixty percent of bank respondents think that combining data, including remittance data, EDI data and electronic invoice presentment, with payment processing is an important trend and a value-added service they should offer to their business clients. Of those, only 47% indicate their banks are already pursuing this strategy, indicating room for growth in this sector.
When asked who is to blame for the liquidity crisis – bankers not lending or an absence of qualified borrowers – about 45% of all participants said both are to blame. However, 28% of corporates think that the crisis was caused by a reluctance to lend on the part of the banks, while only 13% of the bankers think this way.