XTransfer and BNP Paribas have signed a memorandum of understanding (MoU) to simplify cross-border payments.

This partnership is aimed at reducing the costs and processing times associated with cross-border transactions, benefiting traders within the Eurozone.

The agreement was formalised at Money20/20 Europe and signed by XTransfer founder and CEO Bill Deng, and BNP Paribas global head of payments and receivables Bruno Mellado.

The aim is to refine cross-border payment solutions for SMEs in Europe that are involved in international trade.

Utilising BNP Paribas' network throughout Europe, XTransfer intends to facilitate its Chinese clients in collecting funds in Euros.

Concurrently, it will assist European SMEs in making direct Euro payments to simplify foreign exchange processes and increase transactional efficiency.

The alliance anticipates the introduction of more currency options in the future.

Deng said: "It is a great honour to join hands with BNP Paribas. This MOU reflects our mutual ambition to empower SMEs with enhanced cross-border financial solutions. As we continue to grow our European footprint, partnerships like this are instrumental in building robust, compliant, and innovative financial infrastructure for international trade."

Mellado stated: "By combining BNP Paribas' extensive European network with XTransfer's expertise in B2B cross-border trade payments, we aim to simplify international trade transactions, reduce costs, and enhance the global competitiveness of our clients.

“This partnership marks a significant step forward in our mission to provide innovative and efficient financial solutions for businesses operating in the global market."

Last month, XTransfer secured an electronic money institution (EMI) licence from De Nederlandsche Bank (DNB), the Dutch central bank.

In February, BNP Paribas and Groupe BPCE announced the launch of new payment processing entity named Estreem, with both groups holding an equal stake, pending regulatory approval.

"XTransfer and BNP Paribas forge cross-border payments alliance " was originally created and published by Electronic Payments International, a GlobalData owned brand.

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