Citi says first-half payment flows rose 40%
SingTao · 2 SOURCESabout 3 hours ago2 MIN
Summary
Citi Institute and Citi Services said in a report titled The World Rewired: Shifts in Global Trade and Foreign Direct Investment that global payment flows across industries rose 40% year on year in the first half of 2026, even as businesses faced US tariff measures and the Iran conflict. The bank said corporate transaction activity stayed strong in the period, with large increases in its global payments and receivables flows. Asia was the fastest-growing region, and within Asia, healthcare posted the sharpest rise in payments and receivables activity. The report also linked stronger technology-sector flows to the global artificial intelligence capital spending cycle and described major changes in China's export and import patterns.
Key Points
- By region, Asia's payment flows rose 52%, North America's 39%, Europe, the Middle East and Africa 35%, and Latin America's 30% in the first half.
- Citi said growth across regions was mainly driven by higher domestic payment flows, with Hong Kong, the United Kingdom, Brazil and the United States recording notable gains.
- In Asia, healthcare payment and receivables flows jumped 77%, ahead of technology at 60%, industrials at 51%, communications at 46%, consumer at 40%, and natural resources at 29%.
- The technology sector's payment growth was tied to AI spending; US AI-related expenditure exceeded US$450 billion year on year, while Taiwan-to-Singapore cross-border payment flows rose 90%.
- Citi said China's auto and auto-parts exports have been rerouted since 2020: North America's share fell from about one-third to 13%, while Africa's rose from about 8% in 2022 to above 15% by mid-2026.
Why It Matters
For Hong Kong readers, the report suggests the city remains part of the domestic-payment growth seen in Asia, even as trade routes and supply chains are being redrawn. It also points to where treasury, trade-finance and cash-management demand may concentrate next, especially in healthcare, technology and cross-border Asian corridors. Companies operating from Hong Kong may face greater pressure to improve liquidity visibility and digitalise finance operations as supply-chain disruption becomes more persistent