Corporate treasury teams have a role to play in demanding financial service providers to adopt emerging technologies that will ultimately facilitate funding and payments operations.
Offshore yuan is the first emerging market currency to be added to the FX settlement partnership between the two financial institutions. The pair has executed the first US dollar-to-offshore yuan settlement using DLT, according to HSBC.
A trend towards localisation of supply chains, prompted by trade wars and the Covid-19 pandemic, is likely to persist, as corporates increasingly focus on resilience over cost optimisation. These elements may complement digitalisation efforts.