Citi Perspectives 2024 Corporates Edition

| 35 Insights fromClient Advisory—The Real-time Treasury Evolution: A shift tomodernization cash earmark or reserve balances to ensure funding is available? Should cash be thought of and managed like inventory from the largest online retailers? If you are out of inventory, then the payment gets throttled? All of these will be dependent on interconnected systems and coordinated use of real-time data. Beyond banks, companies rely on service providers for accounting, treasury management systems, enterprise resource planning (ERP), billing, forecasting, inventory management, andmore. Companies will need to assemble a continuous chain of service providers that can work synchronously in a real-time world. Are they ready? Arguably, no. Where data lies and how it is containerized will alsomatter. A set of standards is needed that disparate systems can use. Companies need to start thinking about this now and how they invest resources for the future. There won’t necessarily be a panacea of perfection in the future. Individual markets and currencies will still be subject to controls and constraints. All companies will have different constraints based on their business model, tax, and legal circumstances. Money markets and FX markets will need to evolve as well to support an always-on payments and liquidity world. Failing to prepare nowwill delay adoption in the future and in turn result in higher costs. Today’s higher interest rate environment makes a lack of adoption evenmore costly. If you agree with these views, now is the time to build a vision for the future of your treasury function, taking the steps needed tomeet the needs of your organization today and tomorrow. It is incumbent on you to communicate a shared vision with your service providers too. There won’t necessarily be a panacea of perfection in the future. Individual markets and currencies will still be subject to controls and constraints. All companies will have different constraints based on their business model, tax, and legal circumstances. Money markets and FX markets will need to evolve as well to support an always-on payments and liquidity world. Listen to this article Primary Author: Joseph Vasen Managing Director With contributions from: Ron Chakravarti Managing Director Sofia Putri Vice President