As part of the Business Reporter Future of Payments campaign, hosted by The Telegraph online, Banking Circle CEO, Anders la Cour, discusses the challenges facing the payments sector and the opportunities presented by becoming an enabler – rather than a disruptor – in the financial services industry.

The payments landscape has become increasingly global due to growing demand from consumers to trade across borders in a manner that is fast, frictionless, and low cost. This demand has driven many SMEs into this space, but traditionally, it has been difficult for them to expand into new territories as they lack the bargaining power held by their corporate counterparts – particularly when it comes to accessing cost-effective means of settling payments across borders.

As it stands, there is still a gap between what banks provide and what SMEs need; there is simply a lack of global account infrastructure for smaller enterprises. Fortunately, with FinTech businesses bridging the gap, it is becoming easier to access the bank accounts that they need to develop into global players.

In the next five to ten years, the industry will shift towards a single global digital market that is not exclusively owned by financial services companies; tech companies, ISPs, and online marketplaces like Alibaba – who have already captured market share in Asia – are all more than capable of working with enablers to offer financial products to their customers. Even travel companies, and particularly airline companies that offer frequent flyer schemes, can position themselves as businesses capable of offering financial products, should they wish to do so.

The key to unlocking the full potential of the single global digital market will come via enablers; those who are ‘utilities’ providing the pipes to connect businesses together without competing as they do not own – and do not wish to own – the customer relationship. This allows banks to focus on their core business, and for tier two and three banks, this may be a crucial part of their growth strategy into new regions as it allows them to access markets without the expense and hassle that comes with having to establish a local presence.

Watch the interview in full to discover more about the evolution of the cross border payments landscape.