Global payments company Visa Inc has sought the central bank’s permission to offer a new cross-border payments system to process trade flows to and from India, The Economic Times says.

It offers a potentially cheaper – and quicker - blockchain-based solution now on trial.

Visa expects to gain market share in the high-value cross-border corporate payments segment currently monopolized by Swift (Society for Worldwide Interbank Financial Telecommunication), which is both time-consuming and expensive – at times, at least. Swift processes trillions of dollars worldwide through its system and Visa hopes to use its global network to process these transactions faster and at a lower cost to gain a good chunk of the market.

Visa is expected to leverage its relationships to plug the gap. Since Visa has a relationship with almost all banks in the world, it can settle trades quickly, saving a lot of time and improving visibility.

https://economictimes.indiatimes.com/industry/banking/finance/banking/visa-plans-to-enter-cross-border-corp-payment-segment-seeks-rbi-nod/articleshow/83698095.cms