Building Resilient Cross-Border Payments for SMEs

We speak with Sam Coyne, European CEO at Currenxie, about the impact of rising geopolitical uncertainty on small businesses and how innovative cross-border payment solutions are helping businesses to navigate global supply chains more efficiently.

CURRENXIE: BUILDING RESILIENT, FLEXIBLE FINANCE OPTIONS

Geopolitical shifts across Europe and the Middle East are creating unprecedented volatility for businesses that rely on international supply networks.

Small and medium-sized enterprises (SMEs), in particular, are facing a ‘double squeeze’ of rising shipping, energy, and foreign exchange costs, coupled with trade and logistical disruptions.

Traditional supply chain and payment infrastructures, often constrained by slow processes and high costs, are being tested like never before.

As such, Currenxie is helping SMEs build more resilient, flexible financial operations to support global growth while controlling operational costs.

By combining secure, fast, and cost-effective cross-border payments with deep local market insight, Currenxie enables businesses to diversify suppliers, enter new markets, and maintain margins – even in an unpredictable geopolitical and economic environment.

Sam Coyne, European CEO at Currenxie, outlines how cross-border payment solutions are redefining financial resilience for SMEs – enabling businesses to scale operations, manage risk, and expand internationally with confidence.

Q&A WITH SAM COYNE, EUROPEAN CEO, CURRENXIE

As the geopolitical landscape across Europe and the Middle East continues to evolve, how are geopolitical dynamics beginning to impact the businesses that rely on international supply networks?

Sam Coyne, European CEO (SC): The past few weeks have been a stark reminder of how volatile global markets can be and the rapid domino effect this has on international supply networks.

Uncertain supply chains can create market chaos – and vice versa – including shipment delays, inventory disruption, and rising costs for both businesses and consumers.

International trade is a huge business – research from J.P. Morgan calculates that USD$10 trillion is processed each day across more than 200 countries.

However, we are currently seeing a historic convergence of geopolitical and protectionist pressures.

The functional closure of the Strait of Hormuz, for example, has seen vessel transits drop by nearly 95 percent, sending Brent crude toward USD$110 per barrel of crude oil (bbl) and forcing SMEs to navigate a massive ‘global surcharge’ in the form of spiking war-risk insurance and energy costs.

Simultaneously, businesses are grappling with a radical shift in US trade policy. The administration has imposed a 10 percent global tariff, with a move to 15 percent already looming.

This ‘double squeeze’ of maritime blockades and new trade barriers makes it incredibly difficult for SMEs to maintain margins.

Significant fluctuations in currency markets – which have seen the US dollar rise 3 percent against the Great British pound since late February – add further pressure on businesses, who need to be able to move capital quickly and minimise foreign exchange (FX) friction as they seek to diversify supply chains and unlock new customer bases to minimise risk.

Rising shipping and energy costs often ripple through supply chains and eventually reach consumers. How are businesses balancing these pressures while trying to remain competitive in the global marketplace?

SC: With rising costs taking a toll on businesses, consumer prices are likely to also rise as a result.

Spikes in supply chain costs mean many businesses are forced to pass these costs onto customers to protect margins and stay competitive.

To support growth and continue to offer value to customers, businesses need to ensure they are diversifying supply chains to avoid the risk of being overly exposed to one market or region.

There are also other approaches businesses can take to reduce operational costs.

Many merchants operating globally face high FX fees when dealing with international customers or suppliers – it is critical that they minimise these costs where possible to boost margins and keep costs down for customers.

In times of geopolitical uncertainty, many businesses are looking to diversify suppliers and enter new markets. What financial or payment-related barriers do SMEs typically encounter when trying to expand internationally?

SC: The cross-border payment sector is highly fragmented, which makes it complicated, expensive, and time-consuming for businesses to enter new markets.

Access to local expertise to understand regulatory requirements or payment trends is vital when businesses are looking to enter new markets.

During volatile periods such as this, cross-border transactions can be disrupted causing delays which can impact operations.

To mitigate this, businesses may be forced to make overseas transactions ahead of schedule which may result in wider cash flow challenges across the business.

Currency fluctuations add a layer of uncertainty for businesses and may make overseas transactions more expensive, ultimately impacting profitability.

As volatility continues, the cost of cross-border transactions will come under greater scrutiny for businesses of all sizes, but especially SMEs, who are likely to manage tighter margins.

Access to secure, fast and cost-effective cross-border payments is key for businesses of all sizes, but especially SMEs.

Many businesses are typically reliant on their bank for critical high-value transfers, however this may not always be the best option, particularly for SMEs, as they tend to offer higher costs and slower processing times.

During periods of high disruption, SMEs looking to seek a competitive edge need to reduce operational costs where possible – slashing FX fees is a simple step that can maintain margins and cap costs customers, therefore driving growth.

Traditional banks have long been the default option for international payments, but they’re not always designed with SMEs in mind. Where do you see the biggest gaps in the traditional cross-border payments model?

SC: Traditional models can be slow and expensive for moving money across borders. Legacy systems take around two to five days to settle payments while charging high fees from FX costs to intermediary charges.

Traditional cross-border payment models often do not meet the needs of SMEs who often struggle to access global payment infrastructure – these models ultimately risk curbing SME growth, especially during periods where supply chain costs are stretched.

As mentioned, volatile periods can result in delays to cross-border transactions. Many SMEs who are reliant on their bank for these payments may also find that customer support channels are inundated with requests from larger clients who are likely to be priorities.

Unfortunately, SMEs may find themselves at the back of the queue at the precise moment when access to support is critical.

During these periods, access to personalised cross-border payment solutions offer local market insight and reduced operational costs, which minimise risk, help to maintain prices for customers and support growth.

Looking ahead, how can platforms such as Currenxie help businesses build more resilient, flexible supply chains in an increasingly unpredictable global economy?

SC: Cross-border payments providers make it easier for businesses to operate globally, ensuring SMEs are able to enter new customer or supplier markets at pace.

Enabling secure, fast and cost-effective international payments in a volatile geopolitical environment allows SMEs to diversify supply chains, compete globally and maintain revenue by continuing to offer customers value in an uncertain market.

Currenxie’s services help businesses build resiliency into their financial operations, as important as their logistics supply chain, thus ensuring their international payments arrive on time, cost-effectively, and securely.