Overview

Transaction banking, which provides payments, cash management, and trade finance to corporate clients, is evolving. Shifting trade flows, geopolitics, digitalization, and sustainability are disrupting traditional business models for banks and their customers.

This eCourse consists of three modules. Module 1 provides a high-level overview of a modern-day transaction banking operation and the solutions it offers to meet its customers’ needs.

Module 2 explains how banks support corporate customers by facilitating payments across various platforms and systems. While payments were once seen as less attractive, they are critical to cash management and strengthening corporate relationships in a rapidly evolving global payments landscape.

Module 3 covers the importance of effective cash management, including bank account and liquidity management, and examines key cash management metrics.

Objective

On completion of this course, you will be able to:
- Recognise the importance of transaction banking to the modern, global economy
- Identify the crucial role played by transaction banks in facilitating global supply chains
- List the different products and services provided by transaction bank
- List the key features of payment processing systems and the main risks involved in payment processing
- Identify the key types of payment, namely credit/debit transfers, standing orders, cross-border-payments, and checks
- Recognise the key features and stages in the payments processing cycle, namely, payment type selection, payment initiation, and payment processing and execution
- Recognise the interconnection between cash management, the treasury function, and organizational structure, as well as regulatory initiatives in the cash management area
- Identify the key elements of bank account management, including managing banking relationships, virtual account management, cash sweeping, and notional pooling
- Recall the importance of effective liquidity management, especially working capital management, for a business
- Identify key elements of the cash conversion cycle, namely, days sales outstanding, days sales in inventory, and days payables outstanding

Content

Module 1: Transaction Banking - An Introduction
Topic 1: Transaction Banking Overview
Topic 2: Transaction Banking & Global Supply Chains
Topic 3: Other Services

Module 2: Transaction Banking - Payments Services
Topic 1: Overview of Payments
Topic 2: Payments Systems & Risks
Topic 3: Payments Workflows & Stages

Module 3: Transaction Banking – Cash Management Services
Topic 1: Overview of Cash Management
Topic 2: Bank Account Management
Topic 3: Liquidity Management
Topic 4: Cash Management Metrics