PRNewswire
Singapore, March 24: Findings from the recently released 2025-2026 Visa Growth Corporates Working Capital Index (WCI) reveal a significant gap between Asia Pacific companies' working capital needs and the financial tools available to them.
- High-performing Asia Pacific CFOs are turning working capital into a growth lever, with digital payment tools reducing late-payment losses by around 10%
Amid rising inflation, interest rates, and liquidity pressures, Asia Pacific Growth Corporates (mid-sized firms with annual revenues between $50 million and $1 billion) increasingly view efficient cash flow management as essential, with working capital becoming a more strategic tool for driving growth and resilience. Yet, nearly half of the region's Growth Corporates are not utilising any working capital solutions, even as companies need more flexible access to cash.
Visa has identified three key themes from the WCI report that are relevant to businesses in Asia Pacific:
Misalignment Between Financial Products and Operational Needs
Mid-sized businesses across Asia Pacific face shifting working capital realities, including longer cash cycles, more structural payment delays and growing pressure to free up cross-border liquidity faster. However, most financial solutions have not kept up, with many remaining too rigid or generic for Asia Pacific's diverse industries and fast-moving markets.
This growing disconnect between traditional financial product design and the real-world needs of businesses is driving CFOs to call for faster, more flexible and fully digital tools that align with real cash cycles and deliver capital at the speed of business.
Key insights include:
- 47% of Growth Corporates do not utilise working capital tools, often because existing solutions do not align with their operational models.
- 41% of firms want simplified digital tools for credit and account management, while 38% seek on-demand financing aligned with cash flow cycles, signalling demand for more flexible financial solutions.
Financial institutions that create offerings around real business cycles, while rethinking underwriting, approval speed and flexibility, will be better positioned to support the evolving needs of Growth Corporates.
Working Capital as a Strategic Growth Lever
While many firms lack suitable tools, leading finance teams in Asia Pacific are treating working capital as a strategic lever rather than a last resort, using early supplier payments, virtual cards and flexible funding to strengthen liquidity and respond more quickly to market opportunities. As a result, cards are evolving from transactional tools into working capital levers.
Key insights include:
- Late customer payments can cost companies an average of $15.7 million annually, but those using card payments to speed up collections have reduced late-payment losses by around 10%.
- Firms using working capital solutions can realise an average of $17.7 million in annual bottom-line benefits, equivalent to a 4.3% revenue boost.
- 9% of firms used working capital solutions to fund unplanned growth, up from 5.6% in 2024-25.
By improving cash flow visibility and accelerating receivables, these finance leaders can unlock additional capital within their operating cycles, turning liquidity management into a competitive advantage with direct improvements to the bottom line.
Shifting Demands on Banks
Across regions, CFOs rank fast, on-demand access to capital and simplified digital credit management among their top priorities, but these needs are especially pronounced in Asia Pacific, where companies operate in fast-moving and often volatile markets.
Key insights include:
- 61% of Asia Pacific Growth Corporates now use AI or machine learning for working capital optimisation, including forecasting, risk scoring and automated approvals, as demand grows for embedded analytics and simpler digital credit management within banking platforms.
- CFOs expect fast, on-demand access to liquidity through digital rails, including tools such as virtual cards, automated approvals and digital platforms that enable businesses to respond quickly to time-sensitive opportunities.
- Finance leaders prioritise industry-specific expertise from banking partners, seeking relationship managers who understand sector-specific business cycles, supplier relationships and capital expenditure needs.
These trends signal a shift in how CFOs expect to access and manage liquidity. As demand grows for faster, more flexible financing and digitally enabled finance management, banks and financial institutions will need to move beyond generic products by integrating AI-driven insights, streamlining approval processes and pairing digital capabilities with deeper industry expertise to better support the evolving expectations of Asia Pacific CFOs.
"CFOs across Asia Pacific want flexible, sector-specific tools that match their operational realities," said Chavi Jafa, Head of Commercial and Money Movement Solutions, Asia Pacific, Visa. "Our data shows that agile, digital-first strategies and smarter forecasting are helping companies stay resilient and reinvest freed-up capital into growth. The Working Capital Index continues to spotlight how Growth Corporates are turning volatility into opportunity. At Visa, we are partnering across the ecosystem to deliver tailored, digital-first commercial solutions, like virtual cards integrated in ERP and digital enabler platforms, that help unlock working capital, accelerate approvals, and turn liquidity into a strategic growth lever."
For more information on the Growth Corporates Working Capital Index, visit: https://workingcapitalindex.visa.com
About the Index
Visa's Working Capital Index tracks financial behaviour among mid-sized firms, defined as companies with annual revenues between $50 million and $1 billion. The 2025-2026 edition is based on survey responses from over 1,300 CFOs and Treasurers across 23 countries and territories and 8 industry segments, with 298 respondents surveyed across Asia Pacific. The Index provides fresh insights into strategy trends, efficiency gains and the evolving behavioural profiles shaping corporate finance, including the emergence of strategic and adaptable working capital users.
About Visa
Visa (NYSE: V) is a world leader in digital payments, facilitating transactions between consumers, sellers, financial institutions and government entities across more than 200 countries and territories. Our mission is to connect the world through the most innovative, convenient, reliable and secure payments network, enabling individuals, businesses and economies to thrive. We believe that economies that include everyone everywhere, uplift everyone everywhere and see access as foundational to the future of money movement. Learn more at Visa.com.
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