Global Payment Systems: A Critical Review

DOI:10.34047/MMR.2020.8102

Abstract

The Banking system is known as the lifeblood and an important base of the economy. It plays a vital role in the economic development and GDP of the country. The Banking System across the globe has improved to a larger extent in the last two decades with the rapid digital wave, globalization, and privatization which encourages more competition resulting in a balanced ecosystem. The world of payments is going to be fundamentally transformed between now and then. It will be reshaped by technology and redefined by regulation, the emergence of new economic powers, and changes in the global currency landscape. Most importantly, payments will be refocused from a commoditized proposition to a strategic, value-adding solution; one that is offered with a greater focus on the broader commercial and transactional context within which payment (or a transfer of value) takes place. In all of this, commercial banks can remain key players, but only if they respond quickly enough and with compelling value propositions.