World Payments Report 2025: Digital Transformation is Here

The recently released World Payments Report 2025 from Capgemini Research Institute, highlighted a significant phase of reconfiguration of the sectorinstant and account-to-account (A2A) payments appear to have acquired an increasingly dominant role.

According to the report’s projections, Instant payments will account for 22% of global non-cash transactions by 2028This growth is supported by the Consumer preference for fast and frictionless payment solutionsas well as by the growing spread of e-commerce which requires efficient and immediate transaction systems. The introduction of the European Payment Services Directive (PSD2) in 2018 marked a turning point, paving the way foropen banking and, consequently, open finance. The latter, while still in its early stages of global adoption, is set to redefine the financial landscape, promoting greater transparency and competitiveness among industry players.

The analysis by the Capgemini Research Institute also reveals how A2A payment solutions are challenging traditional systems, potentially reducing the market share of credit card transactions. This trend lays the foundation for a review of the commercial strategies of financial institutions, which will have to adapt to different innovation opportunities or otherwise address the risks of loss of revenue from interchange fees.

Despite the enthusiasm for innovation, many banking institutions have expressed and are expressing growing concerns about fraud and other operational risks associated with instant payments. At present, the report highlights how effectively only a small minority of banks are able to fully manage such paymentshighlighting a significant gap in terms of infrastructural and technological preparedness.

The World Payments Report highlights the need for banks to adapt rapidly to ongoing changes, especially in view of upcoming regulatory deadlines such as the 2025 EU Instant Payments Regulation. Financial institutions will be required to ensure the full functionality of instant payments, while promoting the integration of open finance into their operating model.