// TECH TRENDS //
When the UAE ’ s IPP goes live , all these use cases and more will be available to the country ’ s growing economy . Here are some of the ways in which financial institutions in the country can leverage real-time rails to create value for customers and thereby enhance their competitiveness .
Request for Payment ( RfP )
One of the main applications of real-time payments is in the high-volume biller space . Request for Payment ( RfP ) schemes – which have been launched in the US and UK – are set to launch in Europe later in 2022 . RfP services allow billers to send electronic requests for payment , to which customers can respond securely through their smartphones . RfP offer the opportunity for banks and financial intermediaries to add value for mortgage companies , credit card companies , utilities and many others . For the UAE ’ s retail and e-commerce sectors , RfP can smooth shoppers ’ experiences and secure all important cash flows for retailers .
RfP services give an impressive degree of control over billing workflows and improve cashflow and liquidity management . They reduce chargebacks , increase the visibility of incoming payments , enable faster notification
of incorrect account details and simplify the reconciliation of payments to customer bills . Retailers enjoy not only these benefits but also lower acceptance cost vs other modes , reduced fraud and the ability to deliver better customer service , improve customer loyalty and attract new customer segments . RfPs also add benefits for payers , who can now control the timing of the payment and as demonstrated in markets , such as the UK , have the ability to choose their preferred mode of payment as well – something today ’ s direct-debit systems do not allow .
The customer experience becomes more positive as a result , and bounced payments , which have associated costs for the receiving party , can be greatly minimised . RfP is also open to SMEs through scalable , automated services offered by banks . And businesses of all scales can eliminate hours of admin , freeing up staff for more creative endeavours .
Addressing corporate inefficiencies As the region ’ s enterprises look finally to a post-pandemic horizon , they will be eager to eliminate legacy inefficiencies to compete and thrive in the economic recovery that is to come . One of the greatest of these is in accounts receivable and payable departments , where reconciliation processes of incoming
RFP CAN SMOOTH SHOPPERS ’ EXPERIENCES AND SECURE ALL IMPORTANT CASH FLOWS FOR RETAILERS .
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