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Around the globe, nearly a third of us worry about where our next meal is coming from, and one in ten of us suffer from hunger or malnutrition. How is that possible in a modern society? While we are having high-level debates about the possible dystopian effects on society from advanced technology, artificial intelligence, and quantum computing, we seem to be missing a simple and embarrassing truth — we have failed in our moral responsibility to ensure no one goes hungry. It is easy to write off our current situation by pointing to a slew of one-off events that came together to create a “perfect storm” — droughts, armed conflict, skyrocketing inflation, supply chain issues. But even accounting for this tumultuous year, nearly a billion people around the world, some far away and some literally next door, have gone without food and experienced hunger for at least one day in 2022. Food insecurity has serious social and geopolitical implications and throughout history has been a driver of civil unrest and migration. It also carries a hefty price tag — the UN’s Food and Agriculture Organization estimates the costs of malnutrition to the global economy to be as high as $3.5 trillion per year. And while finding a solution will also be costly, the economic benefits to society could reach $10.5 trillion per year. In the report that follows, we first look at what is driving the recent increase in food insecurity and find that although the Russia-Ukraine conflict fanned the flames of the crisis, it was not the sole cause. Environmental factors such as more frequent extreme weather events are making crop production more volatile and increasing the vulnerability of the agriculture sector. Higher energy prices have raised the cost of food production. Rising inflation has forced families to make trade-offs between food and other monthly expenses. And conflict in general has caused disruptions to supply chains and transportation hubs. Although some of these issues will fix themselves in 2023, there is a scenario where higher-than-normal agriculture prices persist with continued high fertilizer prices. The recent increase in protectionist trade policies, including export bans, is also exacerbating the problem. So how do we fix this? How do we ensure we are making out best effort to reduce the number of hungry people? The proposed solutions can be bucketed into four categories: social, technological, economic/financial, and governmental. Society can make small changes to eliminate food waste or shifting to a more plant-based diet, which would increase the amount of available food. Technological innovation in alternative proteins and indoor farming as well as automation and robotics can help in ensure food self-sufficiency for regions reliant on imports and improve the food ecosystem. Financing vehicles such as blended finance and hedging facilities can help facilitate investment in infrastructure. And government is needed to help push the agenda forward with targeted policy and regulation as well as provide humanitarian aid and sustained investment in global agriculture. Big problems take big solutions and big efforts. Authors: Jason Channell,Ying Qin,Elizabeth Curmi,Adam Bergman,Aakash Doshi,John B Finnigan,Emma Hampton,Dustin Oliver Ling,Julie Monaco,Harlin Singh Urofsky,Georgi Yordanov,

<h3 class="">Around the globe, nearly a third of us worry about where our next meal is coming from, and one in ten of us suffer from hunger or malnutrition. How is that possible in a modern society? While we are having high-level debates about the possible dystopian effects on society from advanced technology, artificial intelligence, and quantum computing, we seem to be missing a simple and embarrassing truth &mdash; we have failed in our moral responsibility to ensure no one goes hungry.</h3>
<p><br />It is easy to write off our current situation by pointing to a slew of one-off events that came together to create a &ldquo;perfect storm&rdquo; &mdash; droughts, armed conflict, skyrocketing inflation, supply chain issues. But even accounting for this tumultuous year, nearly a billion people around the world, some far away and some literally next door, have gone without food and experienced hunger for at least one day in 2022.<br /><br />Food insecurity has serious social and geopolitical implications and throughout history has been a driver of civil unrest and migration. It also carries a hefty price tag &mdash; the UN&rsquo;s Food and Agriculture Organization estimates the costs of malnutrition to the global economy to be as high as $3.5 trillion per year. And while finding a solution will also be costly, the economic benefits to society could reach $10.5 trillion per year.<br /><br />In the report that follows, we first look at what is driving the recent increase in food insecurity and find that although the Russia-Ukraine conflict fanned the flames of the crisis, it was not the sole cause. Environmental factors such as more frequent extreme weather events are making crop production more volatile and increasing the vulnerability of the agriculture sector. Higher energy prices have raised the cost of food production. Rising inflation has forced families to make trade-offs between food and other monthly expenses. And conflict in general has caused disruptions to supply chains and transportation hubs.<br /><br /><img class="alignnone size-full wp-image-11389" src="/rcs/citigpa/storage/public/icpublic/Chart-for-website.png" alt="" width="100%" height="auto" /><br /><br />Although some of these issues will fix themselves in 2023, there is a scenario where higher-than-normal agriculture prices persist with continued high fertilizer prices. The recent increase in protectionist trade policies, including export bans, is also exacerbating the problem.<br /><br />So how do we fix this? How do we ensure we are making out best effort to reduce the number of hungry people? The proposed solutions can be bucketed into four categories: social, technological, economic/financial, and governmental. Society can make small changes to eliminate food waste or shifting to a more plant-based diet, which would increase the amount of available food. Technological innovation in alternative proteins and indoor farming as well as automation and robotics can help in ensure food self-sufficiency for regions reliant on imports and improve the food ecosystem.<br /><br />Financing vehicles such as blended finance and hedging facilities can help facilitate investment in infrastructure. And government is needed to help push the agenda forward with targeted policy and regulation as well as provide humanitarian aid and sustained investment in global agriculture.<br /><br />Big problems take big solutions and big efforts.</p>
<p>&nbsp;</p>
<p><span class="authList" style="display: none;">Authors: Jason Channell,Ying Qin,Elizabeth Curmi,Adam Bergman,Aakash Doshi,John B Finnigan,Emma Hampton,Dustin Oliver Ling,Julie Monaco,Harlin Singh Urofsky,Georgi Yordanov,</span></p>

No Room for Complacency Around the globe, nearly a third of us worry about where our next meal is coming from, and one in ten of us suffer from hunger or malnutrition. How is that possible in a modern society? While we are having high-level debates about the possible dystopian effects on society from advanced technology, artificial intelligence, and quantum computing, we seem to be missing a simple and embarrassing truth — we have failed in our moral responsibility to ensure no one goes hungry.

Around the globe, nearly a third of us worry about where our next meal is coming from, and one in ten of us suffer from hunger or malnutrition. How is that possible in a modern society? While we are having high-level debates about the possible dystopian effects on society from advanced technology, artificial intelligence, and quantum computing, we seem to be missing a simple and embarrassing truth — we have failed in our moral responsibility to ensure no one goes hungry.

No Room for Complacency

A Perfect Storm A perfect storm of conflict, environmental, and social, political, and economic shifts is worsening global food insecurity. The Russia-Ukraine conflict highlighted the risk of depending on too few countries for food and on physical chokepoints for the transport of key commodities. While some effects may be alleviated in 2023, food prices may remain elevated for some time, even if further inflation looks less likely.

A perfect storm of conflict, environmental, and social, political, and economic shifts is worsening global food insecurity. The Russia-Ukraine conflict highlighted the risk of depending on too few countries for food and on physical chokepoints for the transport of key commodities. While some effects may be alleviated in 2023, food prices may remain elevated for some time, even if further inflation looks less likely.

A Perfect Storm

Global Implications While this is, first and foremost, an immediate human tragedy, the economic and social/geopolitical implications of food insecurity have material macroeconomic impacts. Disruptions in food production have employment consequences while the economic impact from malnutrition could be as high as $3.5 trillion per year. In particular, history suggests high food prices can lead to civil unrest and displacement, e.g., the Arab Spring in 2011.



While this is, first and foremost, an immediate human tragedy, the economic and social/geopolitical implications of food insecurity have material macroeconomic impacts. Disruptions in food production have employment consequences while the economic impact from malnutrition could be as high as $3.5 trillion per year. In particular, history suggests high food prices can lead to civil unrest and displacement, e.g., the Arab Spring in 2011.



Global Implications

Potential Solutions Although imperfect, we propose an integrated approach to ease food insecurity, hunger, and malnutrition in the short-medium term, and aim to eradicate it in the longer term. Key actors — the public, private, and financial sectors, as well as civil society — all play a role in tackling these challenges.

Although imperfect, we propose an integrated approach to ease food insecurity, hunger, and malnutrition in the short-medium term, and aim to eradicate it in the longer term. Key actors — the public, private, and financial sectors, as well as civil society — all play a role in tackling these challenges.

Potential Solutions

Around the globe, nearly a third of us worry about where our next meal is coming from, and one in ten of us suffer from hunger or malnutrition. How is that possible in a modern society? While we are having high-level debates about the possible dystopian effects on society from advanced technology, artificial intelligence, and quantum computing, we seem to be missing a simple and embarrassing truth — we have failed in our moral responsibility to ensure no one goes hungry. It is easy to write off our current situation by pointing to a slew of one-off events that came together to create a “perfect storm” — droughts, armed conflict, skyrocketing inflation, supply chain issues. But even accounting for this tumultuous year, nearly a billion people around the world, some far away and some literally next door, have gone without food and experienced hunger for at least one day in 2022. Food insecurity has serious social and geopolitical implications and throughout history has been a driver of civil unrest and migration. It also carries a hefty price tag — the UN’s Food and Agriculture Organization estimates the costs of malnutrition to the global economy to be as high as $3.5 trillion per year. And while finding a solution will also be costly, the economic benefits to society could reach $10.5 trillion per year. In the report that follows, we first look at what is driving the recent increase in food insecurity and find that although the Russia-Ukraine conflict fanned the flames of the crisis, it was not the sole cause. Environmental factors such as more frequent extreme weather events are making crop production more volatile and increasing the vulnerability of the agriculture sector. Higher energy prices have raised the cost of food production. Rising inflation has forced families to make trade-offs between food and other monthly expenses. And conflict in general has caused disruptions to supply chains and transportation hubs. Although some of these issues will fix themselves in 2023, there is a scenario where higher-than-normal agriculture prices persist with continued high fertilizer prices. The recent increase in protectionist trade policies, including export bans, is also exacerbating the problem. So how do we fix this? How do we ensure we are making out best effort to reduce the number of hungry people? The proposed solutions can be bucketed into four categories: social, technological, economic/financial, and governmental. Society can make small changes to eliminate food waste or shifting to a more plant-based diet, which would increase the amount of available food. Technological innovation in alternative proteins and indoor farming as well as automation and robotics can help in ensure food self-sufficiency for regions reliant on imports and improve the food ecosystem. Financing vehicles such as blended finance and hedging facilities can help facilitate investment in infrastructure. And government is needed to help push the agenda forward with targeted policy and regulation as well as provide humanitarian aid and sustained investment in global agriculture. Big problems take big solutions and big efforts. Authors: Jason Channell,Ying Qin,Elizabeth Curmi,Adam Bergman,Aakash Doshi,John B Finnigan,Emma Hampton,Dustin Oliver Ling,Julie Monaco,Harlin Singh Urofsky,Georgi Yordanov, No Room for Complacency Around the globe, nearly a third of us worry about where our next meal is coming from, and one in ten of us suffer from hunger or malnutrition. How is that possible in a modern society? While we are having high-level debates about the possible dystopian effects on society from advanced technology, artificial intelligence, and quantum computing, we seem to be missing a simple and embarrassing truth — we have failed in our moral responsibility to ensure no one goes hungry. A Perfect Storm A perfect storm of conflict, environmental, and social, political, and economic shifts is worsening global food insecurity. The Russia-Ukraine conflict highlighted the risk of depending on too few countries for food and on physical chokepoints for the transport of key commodities. While some effects may be alleviated in 2023, food prices may remain elevated for some time, even if further inflation looks less likely. Global Implications While this is, first and foremost, an immediate human tragedy, the economic and social/geopolitical implications of food insecurity have material macroeconomic impacts. Disruptions in food production have employment consequences while the economic impact from malnutrition could be as high as $3.5 trillion per year. In particular, history suggests high food prices can lead to civil unrest and displacement, e.g., the Arab Spring in 2011.

 Potential Solutions Although imperfect, we propose an integrated approach to ease food insecurity, hunger, and malnutrition in the short-medium term, and aim to eradicate it in the longer term. Key actors — the public, private, and financial sectors, as well as civil society — all play a role in tackling these challenges. 

Tackling the Current Crisis and Building Future Resilience

Food Security

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The world of cross-border payments is at an inflection point. As the ecosystem is shaken up by new competition and technologies, there will inevitably be winners and losers. All players must remain nimble and adapt if they are to retain their market share and thrive. This report examines the challenges and opportunities faced by market participants at this pivotal time. The fierce level of competition in cross-border payments is unsurprising given the rewards on offer. There is a race emerging — between new entrants and existing players, often with new business models — to seize a slice of the cross-border payments wallet. The evolving landscape is also driven by changing behaviors, and heightened expectations, with consumers seeking a streamlined, transparent, 24x7 real-time experience, both domestically and across borders. These expectations have crossed over to the corporate and institutional client market as well. New business models, such as direct-to-consumer offerings, marketplaces, and shared economy models, are also spurring change in the payments world. Competition is increasingly multi-faceted within the industry. Payments are moving away from traditional instruction methods, which are tied to batch and files, and moving toward application programming interface (API) connectivity. This is leading to a heightened opportunity for both FinTechs and other participants that will be enabled through traditional financial infrastructures. Regulation is also increasingly fostering innovation via initiatives such as open banking and there has been a consequent increase in players that can deliver technology nimbly and leverage digital client experiences as a differentiating factor. This report builds on qualitative contributions from key market infrastructure experts — from within and outside of Citi — FinTechs, and a diversified set of banks spanning across four continents. It also outlines the key findings from a proprietary survey of more than 100 of Citi’s financial institution clients. Their priorities were resoundingly clear: Speed, cost efficiency, and transparency are critical to delivering best-in-class client experiences. We examine what it takes to deliver such an experience, explore technological innovation across the traditional fiat currency stack — including alternative payment methods and other industry-driven developments — and draw connections to the fast-changing digital asset space. Digital assets have yet to scale; however, interesting use cases, such as smart contracts and real-time liquidity, are already emerging. Artificial intelligence has captured significant mindshare in 2023 and could act as a catalyst for change in the payments market. While leveraging the pace of innovative change, it is also imperative to stay focused on safety and soundness for clients while continuing to comply with the needs of the evolving regulatory landscape. As we show in this report, best-in-class client experiences — leveraging new technologies — can address clients’ key pain points and have the potential to transform cross-border payments for the benefit of all. Citi is proud to play a key role in this journey, and we hope these insights help you both understand and benefit from the dynamic future of cross-border payments.

<p>The world of cross-border payments is at an inflection point. As the ecosystem is shaken up by new competition and technologies, there will inevitably be winners and losers. All players must remain nimble and adapt if they are to retain their market share and thrive. This report examines the challenges and opportunities faced by market participants at this pivotal time.</p>
<p>The fierce level of competition in cross-border payments is unsurprising given the rewards on offer. There is a race emerging &mdash; between new entrants and existing players, often with new business models &mdash; to seize a slice of the cross-border payments wallet.</p>
<p>The evolving landscape is also driven by changing behaviors, and heightened expectations, with consumers seeking a streamlined, transparent, 24x7 real-time experience, both domestically and across borders. These expectations have crossed over to the corporate and institutional client market as well. New business models, such as direct-to-consumer offerings, marketplaces, and shared economy models, are also spurring change in the payments world.</p>
<p>Competition is increasingly multi-faceted within the industry. Payments are moving away from traditional instruction methods, which are tied to batch and files, and moving toward application programming interface (API) connectivity. This is leading to a heightened opportunity for both FinTechs and other participants that will be enabled through traditional financial infrastructures. Regulation is also increasingly fostering innovation via initiatives such as open banking and there has been a consequent increase in players that can deliver technology nimbly and leverage digital client experiences as a differentiating factor.</p>
<p>This report builds on qualitative contributions from key market infrastructure experts &mdash; from within and outside of Citi &mdash; FinTechs, and a diversified set of banks spanning across four continents. It also outlines the key findings from a proprietary survey of more than 100 of Citi&rsquo;s financial institution clients. Their priorities were resoundingly clear: Speed, cost efficiency, and transparency are critical to delivering best-in-class client experiences.</p>
<p>We examine what it takes to deliver such an experience, explore technological innovation across the traditional fiat currency stack &mdash; including alternative payment methods and other industry-driven developments &mdash; and draw connections to the fast-changing digital asset space. Digital assets have yet to scale; however, interesting use cases, such as smart contracts and real-time liquidity, are already emerging. Artificial intelligence has captured significant mindshare in 2023 and could act as a catalyst for change in the payments market.</p>
<p>While leveraging the pace of innovative change, it is also imperative to stay focused on safety and soundness for clients while continuing to comply with the needs of the evolving regulatory landscape.</p>
<p>As we show in this report, best-in-class client experiences &mdash; leveraging new technologies &mdash; can address clients&rsquo; key pain points and have the potential to transform cross-border payments for the benefit of all. Citi is proud to play a key role in this journey, and we hope these insights help you both understand and benefit from the dynamic future of cross-border payments.</p>

Our vision to be the preeminent banking partner for institutions with cross-border needs grows ever more relevant every day. With international networks fully engaged and payment activity continuing to grow across borders, clients need solutions that meet their global needs.

Our industry is on a journey to reach the next phase of evolution within cross-border payments. We’re partnering closely with financial institutions, FinTechs, corporates, and industry experts — all of whom have contributed their perspectives in this paper — to continue building best-in-class experiences for clients and using technologies such as artificial intelligence and digital assets to make it happen.

I’m excited to see the immense opportunity that the next five years will bring as we work together to transform cross-border payments.



Jane Fraser, CEO, Citi

Growing Revenue Pie Is Attracting Competition <div>With a revenue pie already at over $200 billion and expanding&nbsp;at a high single-digit annual growth rate, and flows expected to reach $250 trillion by 2027, competition in the cross-border&nbsp;payments market is increasing. Over 40% of banks have already lost at least 5% of market share to FinTechs, and 89% expect to lose at least 5% of their share to FinTechs in the next 5-10 years.</div> 

<div>With a revenue pie already at over $200 billion and expanding&nbsp;at a high single-digit annual growth rate, and flows expected to reach $250 trillion by 2027, competition in the cross-border&nbsp;payments market is increasing. Over 40% of banks have already lost at least 5% of market share to FinTechs, and 89% expect to lose at least 5% of their share to FinTechs in the next 5-10 years.</div>

Growing Revenue Pie Is Attracting Competition

The Pain Points <div>In domestic transactions, consumers experience payments that&nbsp;are largely instant and fully traceable. Increasingly, these same&nbsp;expectations are being applied to the more complex crossborder&nbsp;space. This is driving a &ldquo;consumerization&rdquo; of corporate&nbsp;expectations, increasingly underpinned by a focus on speed,&nbsp;transparency, and cost efficiency.</div> 

<div>In domestic transactions, consumers experience payments that&nbsp;are largely instant and fully traceable. Increasingly, these same&nbsp;expectations are being applied to the more complex crossborder&nbsp;space. This is driving a &ldquo;consumerization&rdquo; of corporate&nbsp;expectations, increasingly underpinned by a focus on speed,&nbsp;transparency, and cost efficiency.</div>

The Pain Points

Keys to Winning Share for Banks <div>The changing cross-border payments space will favor those&nbsp;elevating and concentrating on the client experience. While&nbsp;over 50% of banks see the need to revamp their front ends&nbsp;to improve client experience, over 60% of respondents point&nbsp;to the need to upgrade their core infrastructure.</div> 

<div>The changing cross-border payments space will favor those&nbsp;elevating and concentrating on the client experience. While&nbsp;over 50% of banks see the need to revamp their front ends&nbsp;to improve client experience, over 60% of respondents point&nbsp;to the need to upgrade their core infrastructure.</div>

Keys to Winning Share for Banks

Where Are Clients on their API Journey? <div>83% of banks recognize application&nbsp;programming interfaces (APIs) as&nbsp;the key technology to improve client&nbsp;experience. It is the&nbsp; enabler allowing them to expand their network&nbsp;through partnerships with network&nbsp;connectivity providers, elevate their&nbsp;capabilities, and deliver true digital&nbsp;client experience. Many incumbents,&nbsp;however, have to upgrade their&nbsp;legacy systems in order to take full&nbsp;advantage of APIs.</div> 

<div>83% of banks recognize application&nbsp;programming interfaces (APIs) as&nbsp;the key technology to improve client&nbsp;experience. It is the&nbsp; enabler allowing them to expand their network&nbsp;through partnerships with network&nbsp;connectivity providers, elevate their&nbsp;capabilities, and deliver true digital&nbsp;client experience. Many incumbents,&nbsp;however, have to upgrade their&nbsp;legacy systems in order to take full&nbsp;advantage of APIs.</div>

Where Are Clients on their API Journey?

Delivering Best-in-Class Client Experiences <div>To address the cross-border payment needs of clients looking&nbsp;for speed, cost efficiency, and transparency, financial institutions&nbsp;need to partner to deliver a digital-first client experience.</div> 

<div>To address the cross-border payment needs of clients looking&nbsp;for speed, cost efficiency, and transparency, financial institutions&nbsp;need to partner to deliver a digital-first client experience.</div>

Delivering Best-in-Class Client Experiences

The world of cross-border payments is at an inflection point. As the ecosystem is shaken up by new competition and technologies, there will inevitably be winners and losers. All players must remain nimble and adapt if they are to retain their market share and thrive. This report examines the challenges and opportunities faced by market participants at this pivotal time. The fierce level of competition in cross-border payments is unsurprising given the rewards on offer. There is a race emerging — between new entrants and existing players, often with new business models — to seize a slice of the cross-border payments wallet. The evolving landscape is also driven by changing behaviors, and heightened expectations, with consumers seeking a streamlined, transparent, 24x7 real-time experience, both domestically and across borders. These expectations have crossed over to the corporate and institutional client market as well. New business models, such as direct-to-consumer offerings, marketplaces, and shared economy models, are also spurring change in the payments world. Competition is increasingly multi-faceted within the industry. Payments are moving away from traditional instruction methods, which are tied to batch and files, and moving toward application programming interface (API) connectivity. This is leading to a heightened opportunity for both FinTechs and other participants that will be enabled through traditional financial infrastructures. Regulation is also increasingly fostering innovation via initiatives such as open banking and there has been a consequent increase in players that can deliver technology nimbly and leverage digital client experiences as a differentiating factor. This report builds on qualitative contributions from key market infrastructure experts — from within and outside of Citi — FinTechs, and a diversified set of banks spanning across four continents. It also outlines the key findings from a proprietary survey of more than 100 of Citi’s financial institution clients. Their priorities were resoundingly clear: Speed, cost efficiency, and transparency are critical to delivering best-in-class client experiences. We examine what it takes to deliver such an experience, explore technological innovation across the traditional fiat currency stack — including alternative payment methods and other industry-driven developments — and draw connections to the fast-changing digital asset space. Digital assets have yet to scale; however, interesting use cases, such as smart contracts and real-time liquidity, are already emerging. Artificial intelligence has captured significant mindshare in 2023 and could act as a catalyst for change in the payments market. While leveraging the pace of innovative change, it is also imperative to stay focused on safety and soundness for clients while continuing to comply with the needs of the evolving regulatory landscape. As we show in this report, best-in-class client experiences — leveraging new technologies — can address clients’ key pain points and have the potential to transform cross-border payments for the benefit of all. Citi is proud to play a key role in this journey, and we hope these insights help you both understand and benefit from the dynamic future of cross-border payments. Our vision to be the preeminent banking partner for institutions with cross-border needs grows ever more relevant every day. With international networks fully engaged and payment activity continuing to grow across borders, clients need solutions that meet their global needs.

Our industry is on a journey to reach the next phase of evolution within cross-border payments. We’re partnering closely with financial institutions, FinTechs, corporates, and industry experts — all of whom have contributed their perspectives in this paper — to continue building best-in-class experiences for clients and using technologies such as artificial intelligence and digital assets to make it happen.

I’m excited to see the immense opportunity that the next five years will bring as we work together to transform cross-border payments.



Jane Fraser, CEO, Citi Growing Revenue Pie Is Attracting Competition <div>With a revenue pie already at over $200 billion and expanding&nbsp;at a high single-digit annual growth rate, and flows expected to reach $250 trillion by 2027, competition in the cross-border&nbsp;payments market is increasing. Over 40% of banks have already lost at least 5% of market share to FinTechs, and 89% expect to lose at least 5% of their share to FinTechs in the next 5-10 years.</div>  The Pain Points <div>In domestic transactions, consumers experience payments that&nbsp;are largely instant and fully traceable. Increasingly, these same&nbsp;expectations are being applied to the more complex crossborder&nbsp;space. This is driving a &ldquo;consumerization&rdquo; of corporate&nbsp;expectations, increasingly underpinned by a focus on speed,&nbsp;transparency, and cost efficiency.</div>  Keys to Winning Share for Banks <div>The changing cross-border payments space will favor those&nbsp;elevating and concentrating on the client experience. While&nbsp;over 50% of banks see the need to revamp their front ends&nbsp;to improve client experience, over 60% of respondents point&nbsp;to the need to upgrade their core infrastructure.</div>  Where Are Clients on their API Journey? <div>83% of banks recognize application&nbsp;programming interfaces (APIs) as&nbsp;the key technology to improve client&nbsp;experience. It is the&nbsp; enabler allowing them to expand their network&nbsp;through partnerships with network&nbsp;connectivity providers, elevate their&nbsp;capabilities, and deliver true digital&nbsp;client experience. Many incumbents,&nbsp;however, have to upgrade their&nbsp;legacy systems in order to take full&nbsp;advantage of APIs.</div>  Delivering Best-in-Class Client Experiences <div>To address the cross-border payment needs of clients looking&nbsp;for speed, cost efficiency, and transparency, financial institutions&nbsp;need to partner to deliver a digital-first client experience.</div> 

The world of cross-border payments is at an inflection point. As the ecosystem is shaken up by new competition and technologies, there will inevitably be winners and losers. A race is emerging between new entrants and existing players, often with new business models, to seize a slice of the cross-border payments wallet. The evolving landscape is driven by changing behaviors as the streamlined, transparent, 24x7 real-time payments experience of consumers is crossing over to the corporate and institutional client market Best-in-class client experiences, leveraging new technologies, can address clients' key pain points and have the potential to transform cross=border payments for the benefit of all.

Who Will Be Moving $250 Trillion in the Next Five Years?

Future of Cross-Border Payments 

Following pandemic-related disruptions, supply chains are in a state of transition. To avoid future backlogs and disruptions, many solutions are being explored including a switch from just-in-time inventory to just-in-case, as well as near-shoring and on-shoring. Technology can play a significant role in securing global supply chains via automation, software, and connectivity. New technology developments can be utilized from production to storage, delivery, and recycling. One of the more interesting observations about the COVID-19 pandemic era was the way in which it expanded words and phrases used in general conversation. Prior to the pandemic, it was unlikely that people routinely talked about the effectiveness of mRNA vaccines or how long a virus could stay viable on a shopping bag. And conversations about the daily trip to the supermarket suddenly incorporated phrases like “supply chain disruptions.” We started writing about supply chains back in December 2021 in our report Global Supply Chains: The Complicated Road Back to Normal. At the time, global markets were unbalanced. There was strong demand for goods, as many who were sitting home due to lockdowns or remote work were clicking on “Add to Cart.” On the supply side, border closings and lockdowns kept production sites shuttered. At the time, we noted that because there was more than one cause or event that had gotten us into that situation, one single solution would not relieve the stress. Then came the armed conflict between Russia and Ukraine, which added a new layer of supply chain pressure and new challenges for the global economy. Together with the issues from the pandemic, the supply chain management practices that prevailed in the years before the pandemic were questioned, especially whether global supply chain structures were robust, cost-effective, and reliable, and whether the demand for goods was relatively smooth and predictable. With vulnerabilities in supply chains exposed, we noted that many firms would feel the need to take the lessons from supply chain disruptions on board and adjust their operations. One of our suggestions was to embrace digitalization and technology more broadly throughout the supply chain. Although technology had been slowly added over the year into the production and distribution areas of the economy, we believe the recent supply chain disruptions are proving to be a catalyst for technology adoption. From robotics in manufacturing and automated guided vehicles in warehouses, new technologies in the production area of the economy can help to automate processes, increase productivity, and lower costs. In the delivery sector, technology can help decrease delivery times and novel transportation solutions can lower delivery costs. New technology such as artificial intelligence and machine learning can help companies bring products to market faster and more efficiently. Finally, digitization and documentation can help keep supply chains running smoothly. In our full report, we look at 20 different areas of supply chain technology that could help companies enhance their supply chain management practices. Some are technologies that are already used in practice, while others are more conceptual. All are likely to help lead to a more stable global supply chain. Hopefully supply chain technology can ensure that future conversations about the trip to the market will center around what’s for dinner instead of what’s missing on the shelves.

<h3>Following pandemic-related disruptions, supply chains are in a state of transition. To avoid future backlogs and disruptions, many solutions are being explored including a switch from just-in-time inventory to just-in-case, as well as near-shoring and on-shoring. Technology can play a significant role in securing global supply chains via automation, software, and connectivity. New technology developments can be utilized from production to storage, delivery, and recycling.</h3>
<p>One of the more interesting observations about the COVID-19 pandemic era was the way in which it expanded words and phrases used in general conversation. Prior to the pandemic, it was unlikely that people routinely talked about the effectiveness of mRNA vaccines or how long a virus could stay viable on a shopping bag. And conversations about the daily trip to the supermarket suddenly incorporated phrases like &ldquo;supply chain disruptions.&rdquo;</p>
<p>We started writing about supply chains back in December 2021 in our report <a href="https://www.citigroup.com/global/insights/citigps/citi-gps-global-supply-chains" target="_blank" rel="noopener" data-link-source="tiny"><em>Global Supply Chains: The Complicated Road Back to Normal</em></a>. At the time, global markets were unbalanced. There was strong demand for goods, as many who were sitting home due to lockdowns or remote work were clicking on &ldquo;Add to Cart.&rdquo; On the supply side, border closings and lockdowns kept production sites shuttered. At the time, we noted that because there was more than one cause or event that had gotten us into that situation, one single solution would not relieve the stress.&nbsp;</p>
<p>Then came the armed conflict between Russia and Ukraine, which added a new layer of supply chain pressure and new challenges for the global economy. Together with the issues from the pandemic, the supply chain management practices that prevailed in the years before the pandemic were questioned, especially whether global supply chain structures were robust, cost-effective, and reliable, and whether the demand for goods was relatively smooth and predictable.</p>
<p>With vulnerabilities in supply chains exposed, we noted that many firms would feel the need to take the lessons from supply chain disruptions on board and adjust their operations. One of our suggestions was to embrace digitalization and technology more broadly throughout the supply chain.</p>
<p>Although technology had been slowly added over the year into the production and distribution areas of the economy, we believe the recent supply chain disruptions are proving to be a catalyst for technology adoption.</p>
<p>From robotics in manufacturing and automated guided vehicles in warehouses, new technologies in the production area of the economy can help to automate processes, increase productivity, and lower costs. In the delivery sector, technology can help decrease delivery times and novel transportation solutions can lower delivery costs. New technology such as artificial intelligence and machine learning can help companies bring products to market faster and more efficiently. Finally, digitization and documentation can help keep supply chains running smoothly.</p>
<p>In our full report, we look at 20 different areas of supply chain technology that could help companies enhance their supply chain management practices. Some are technologies that are already used in practice, while others are more conceptual. All are likely to help lead to a more stable global supply chain.</p>
<p>Hopefully supply chain technology can ensure that future conversations about the trip to the market will center around what&rsquo;s for dinner instead of what&rsquo;s missing on the shelves.</p>

Production and Storage <p>While humans still perform 72% of manufacturing tasks, the use of robots is on the rise, including Automated Mobile Robots (AMRs) and Automated Guided Vehicles (AGVs). Lower costs and higher speeds can be achieved through technologies such as Robots-as-a-Service (RaaS) subscriptions and 3D printing. While warehouses are still largely manual, the use of Automation Storage and Retrieval Systems (AS/RS) is growing.</p> 

<p>While humans still perform 72% of manufacturing tasks, the use of robots is on the rise, including Automated Mobile Robots (AMRs) and Automated Guided Vehicles (AGVs). Lower costs and higher speeds can be achieved through technologies such as Robots-as-a-Service (RaaS) subscriptions and 3D printing. While warehouses are still largely manual, the use of Automation Storage and Retrieval Systems (AS/RS) is growing.</p>

Production and Storage

Delivery and Recycling <p>Globally, automation at container terminals remains low despite evidence it increases throughput and reliability while reducing costs. Other technologies such as autonomous trucks, hyperloop transport, automated parcel sorting, and automated last-mile delivery technologies can produce further efficiencies in logistics.</p> 

<p>Globally, automation at container terminals remains low despite evidence it increases throughput and reliability while reducing costs. Other technologies such as autonomous trucks, hyperloop transport, automated parcel sorting, and automated last-mile delivery technologies can produce further efficiencies in logistics.</p>

Delivery and Recycling

Decision Making <p>The Internet of Things (IoT) is providing greater visibility over supply chains and enables better decision making through artificial intelligence (AI) tools. Greater connectivity from 5G enhances these capabilities, with quantum computing expected to further optimize supply chains. As sensor costs fall, the number of IoT-connected devices is expected to rise significantly.</p> 

<p>The Internet of Things (IoT) is providing greater visibility over supply chains and enables better decision making through artificial intelligence (AI) tools. Greater connectivity from 5G enhances these capabilities, with quantum computing expected to further optimize supply chains. As sensor costs fall, the number of IoT-connected devices is expected to rise significantly.</p>

Decision Making

Digitization and Documentation <p>Less than 10% of trade documents are fully digitized, but this is changing with the Digital Documentation Initiative (dDOC). Interoperable Digital ID systems and digital payments (including blockchain and tokenization) in the supply chain may bring further change, helping to improve supply chain resilience and increasing transparency to stakeholders.</p> 

<p>Less than 10% of trade documents are fully digitized, but this is changing with the Digital Documentation Initiative (dDOC). Interoperable Digital ID systems and digital payments (including blockchain and tokenization) in the supply chain may bring further change, helping to improve supply chain resilience and increasing transparency to stakeholders.</p>

Digitization and Documentation

Following pandemic-related disruptions, supply chains are in a state of transition. To avoid future backlogs and disruptions, many solutions are being explored including a switch from just-in-time inventory to just-in-case, as well as near-shoring and on-shoring. Technology can play a significant role in securing global supply chains via automation, software, and connectivity. New technology developments can be utilized from production to storage, delivery, and recycling. One of the more interesting observations about the COVID-19 pandemic era was the way in which it expanded words and phrases used in general conversation. Prior to the pandemic, it was unlikely that people routinely talked about the effectiveness of mRNA vaccines or how long a virus could stay viable on a shopping bag. And conversations about the daily trip to the supermarket suddenly incorporated phrases like “supply chain disruptions.” We started writing about supply chains back in December 2021 in our report Global Supply Chains: The Complicated Road Back to Normal. At the time, global markets were unbalanced. There was strong demand for goods, as many who were sitting home due to lockdowns or remote work were clicking on “Add to Cart.” On the supply side, border closings and lockdowns kept production sites shuttered. At the time, we noted that because there was more than one cause or event that had gotten us into that situation, one single solution would not relieve the stress. Then came the armed conflict between Russia and Ukraine, which added a new layer of supply chain pressure and new challenges for the global economy. Together with the issues from the pandemic, the supply chain management practices that prevailed in the years before the pandemic were questioned, especially whether global supply chain structures were robust, cost-effective, and reliable, and whether the demand for goods was relatively smooth and predictable. With vulnerabilities in supply chains exposed, we noted that many firms would feel the need to take the lessons from supply chain disruptions on board and adjust their operations. One of our suggestions was to embrace digitalization and technology more broadly throughout the supply chain. Although technology had been slowly added over the year into the production and distribution areas of the economy, we believe the recent supply chain disruptions are proving to be a catalyst for technology adoption. From robotics in manufacturing and automated guided vehicles in warehouses, new technologies in the production area of the economy can help to automate processes, increase productivity, and lower costs. In the delivery sector, technology can help decrease delivery times and novel transportation solutions can lower delivery costs. New technology such as artificial intelligence and machine learning can help companies bring products to market faster and more efficiently. Finally, digitization and documentation can help keep supply chains running smoothly. In our full report, we look at 20 different areas of supply chain technology that could help companies enhance their supply chain management practices. Some are technologies that are already used in practice, while others are more conceptual. All are likely to help lead to a more stable global supply chain. Hopefully supply chain technology can ensure that future conversations about the trip to the market will center around what’s for dinner instead of what’s missing on the shelves. Production and Storage <p>While humans still perform 72% of manufacturing tasks, the use of robots is on the rise, including Automated Mobile Robots (AMRs) and Automated Guided Vehicles (AGVs). Lower costs and higher speeds can be achieved through technologies such as Robots-as-a-Service (RaaS) subscriptions and 3D printing. While warehouses are still largely manual, the use of Automation Storage and Retrieval Systems (AS/RS) is growing.</p>  Delivery and Recycling <p>Globally, automation at container terminals remains low despite evidence it increases throughput and reliability while reducing costs. Other technologies such as autonomous trucks, hyperloop transport, automated parcel sorting, and automated last-mile delivery technologies can produce further efficiencies in logistics.</p>  Decision Making <p>The Internet of Things (IoT) is providing greater visibility over supply chains and enables better decision making through artificial intelligence (AI) tools. Greater connectivity from 5G enhances these capabilities, with quantum computing expected to further optimize supply chains. As sensor costs fall, the number of IoT-connected devices is expected to rise significantly.</p>  Digitization and Documentation <p>Less than 10% of trade documents are fully digitized, but this is changing with the Digital Documentation Initiative (dDOC). Interoperable Digital ID systems and digital payments (including blockchain and tokenization) in the supply chain may bring further change, helping to improve supply chain resilience and increasing transparency to stakeholders.</p> 

Following pandemic-related disruptions, supply chains are in a state of transition. To avoid future backlogs and disruptions, many solutions are being explored including a switch from just-in-time inventory to just-in-case, as well as near-shoring and on-shoring. Technology can play a significant role in securing global supply chains via automation, software, and connectivity. New technology developments can be utilized from production to storage, delivery, and recycling.

Improving Efficiency, Resilience, and Transparency

Following pandemic-related disruptions, supply chains are in a state of transition. To avoid future backlogs and disruptions, many solutions are being explored including a switch from just-in-time inventory to just-in-case, as well as near-shoring and on-shoring. 

Supply Chain Technology

The Asia-Pacific Economic Cooperation (APEC) intergovernmental forum brings together 21 economies from around the Asia-Pacific region to collaborate on the shared goal of creating a more open, resilient, sustainable, and peaceful future for the people of the world’s most dynamic region. The U.S will chair this year's forums, including the APEC CEO Summit taking place in San Francisco, California November 14-16. The Summit brings together CEOs, entrepreneurs, thought leaders, and key stakeholders along with world leaders from the Asia-Pacific region for robust dialogue on global opportunities and challenges that are shaping economic, environmental, and societal trends in the region. The Summit program will highlight the potential of collaboration and fresh thinking to build the future through a focus on Sustainability, Inclusion, Resilience, and Innovation. Citi is a Platinum Sponsor of the event, and will be hosting bilateral meetings, giving keynote speeches, and sponsoring a thought leadership event. To support the event Citi Global Perspectives & Solutions (Citi GPS) produced four reports showcasing Citi’s stance on the Asia-Pacific economies and aligning with the themes of the CEO Summit.

<p>The Asia-Pacific Economic Cooperation (APEC) intergovernmental forum brings together 21 economies from around the Asia-Pacific region to collaborate on the shared goal of creating a more open, resilient, sustainable, and peaceful future for the people of the world&rsquo;s most dynamic region.</p>
<p>The U.S will chair this year's forums, including the APEC CEO Summit taking place in San Francisco, California November 14-16. The Summit brings together CEOs, entrepreneurs, thought leaders, and key stakeholders along with world leaders from the Asia-Pacific region for robust dialogue on global opportunities and challenges that are shaping economic, environmental, and societal trends in the region. The Summit program will highlight the potential of collaboration and fresh thinking to build the future through a focus on Sustainability, Inclusion, Resilience, and Innovation.</p>
<p>Citi is a Platinum Sponsor of the event, and will be hosting bilateral meetings, giving keynote speeches, and sponsoring a thought leadership event. To support the event Citi Global Perspectives &amp; Solutions (Citi GPS) produced four reports showcasing Citi&rsquo;s stance on the Asia-Pacific economies and aligning with the themes of the CEO Summit.</p>
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The Asia-Pacific Economic Cooperation (APEC) intergovernmental forum brings together 21 economies from around the Asia-Pacific region to collaborate on the shared foal of creating amore open, resilient, sustainable, and peaceful future for the people of the world's most dynamic region. 

Aligning with the Themes of the APEC CEO Summit