Market Challenges And Opportunities
Corporate Liquidity Management Market Restraints:
- Data Privacy and Security Concerns: While the adoption of cloud treasury technology is increasing, the data privacy and security concerns associated with it are restraining the adoption, especially in highly regulated industries. Corporates are also hesitant about sharing sensitive financial data with fintechs. Addressing these concerns is critical for solution providers.
- High Deployment Costs for On-premise Solutions: Despite the benefits, the high costs and complexity associated with deploying advanced corporate liquidity solutions on-premise are restraining their adoption, especially among SMEs with limited treasury IT budgets. This demands the development of Lite SaaS models to drive affordability.
- Lack of Standardized Global Regulations: While regulations are tightening around corporate liquidity, they differ significantly across regions. Lack of standardized global regulations results in the complexity of managing liquidity across subsidiaries located worldwide. It creates demand for localized, configurable solutions.