Asian firms enthusiastic about AI-driven FX management

Asian corporates are bullish about embedding FX management into treasury management systems (TMS), with 85% saying embedded services would play a significantly greater role over the next five years. 

In a survey conducted by Integral, Asian treasurers were more optimistic about the benefits of embedding FX risk management compared with respondents in Latin America (78%) and Europe (73%).  

One Asian bank said that API usage will increase for corporates with heavy transaction volumes, with API integration of dealer platforms diminishing the need for manual voice/chat trades. 

Greater API usage will be further driven by AI, with half of banks saying agentic AI and machine learning will be the most important technologies driving distribution strategy. But midsize corporates also said the biggest barrier to embedding FX management is the maturity of bank API connections (43%). 

Asia is a leading region in the adoption of agentic AI. The Monetary Authority of Singapore has published a toolkit that provides practical guidance on AI risk management in financial services. 

Harpal Sandhu, CEO of Integral, said: “API access will be key to embedding FX management and automating it through AI. Asian corporates are especially enthusiastic about the opportunities of integrating FX into their TMS solutions. APIs and AI connectivity are two sides of the same coin, and banks will need to deliver on both as corporates demand a more streamlined solution when navigating FX risk.” 

Find out more about the survey results by reading the full report here