SG SMEs seek cross-border payments for overseas goals

6 in 10 small businesses use an app to make int’l payments, with 3 in 10 having experienced issues.

With almost 8 in 10 small businesses in Singapore planning to expand overseas, having robust cross-border payment solutions will be increasingly critical for the growth of the country’s small and medium enterprises (SMEs), says Mastercard in its latest report.

The report found that 79% of SMEs in the Lion City are planning greater international expansion compared to a year ago.

Meanwhile, 6 in 10 (63%) are using more international suppliers and services than before.

Almost the same proportion (61%) of Singaporean SMEs say they use an app to make cross-border payments. However, over 3 in 10 (36%) of them have experience issues when making cross-border transactions that result in late or failed payments. This has cost them not just the ability to pay suppliers on time, but also reduced access to needed supplies, and reputational damage, Mastercard said.
 
“The report is a clear indication that SMEs are looking beyond Singapore to achieve growth, and that banks and other payment providers have an opportunity to become vital partners by providing secure, seamless cross-border payment solutions that help them enhance efficiency, increase revenue, and improve cash flow,” said Deborah Heng, country manager, Singapore, Mastercard.