Shift to electronic transactions a perquisite to competitiveness of Middle East businesses, says HSBC expert

In Dubai for the book launch the inaugural edition of HSBC's Guide to Cash Management, Treasury and Trade in the Middle East 2008 and to speak at the EuroFinance conference on Trade, Treasury and Cash Management in the Middle East, Andrew Long, HSBC's Head of Global Transaction Banking said: "Cheque and cash based receivables continue to be commonplace in the Middle East, which results in costly inefficiencies due to manual reconciliation process which are time-consuming and error prone. Nonetheless, there are positive signs as the ongoing implementation of Real Time Gross Settlement (RTGS) and the Automated Clearing House (ACH) infrastructure around the region will enhance clearing practices."

"The development of this payments infrastructure has enabled corporates to switch to electronic mechanisms for payments and accounts receivable collections, giving buyers and sellers, whether large or small, more certainty over cash flow and working capital management. Both from a buyer's procure-to-pay perspective and a sellers' order-to-cash perspective, the value that can be derived from improved payment efficiencies, enhanced information to aide reconciliation and increased control and visibility of working capital can be enormous."

"HSBC's integrated payments and receivables product suite which is delivered over the same online platform gives us and our customers an edge over competitors in an increasingly competitive environment,' he concluded.

On the subject of the newly launched HSBC Guide, Andrew advised "We have issued similar Guides to Cash Management and Treasury in other Regions for over a decade and they have become invaluable and trusted source of information to CFOs and Treasurers. The Guide covers a number of areas of specific interest to the Middle East including country profiles and case studies, as well as articles providing commentary on the region's economy, Shariah-compliant banking and developments in cash and treasury management as well as trade and supply chain. HSBC has the largest coverage of the Middle East of any international bank and with 100 years of history in the region we are pleased to share our share our experience and insights with our current and prospective clients."

Global Transaction Banking (GTB) is a Global Product group comprising of the core business of Payments and Cash Management, Trade Services and Securities Services. GTB provides product management, client services and specialised sales expertise around the globe for the Group's transactionally focused propositions targeted at commercial banking and global banking and markets clients.