As businesses strive to adapt to the fast-moving demands of the “Instant Economy,” they are facing increasing difficulties in streamlining their payment operations. According to Modern Treasury’s fourth annual State of Payment Operations 2025 report, which surveyed 500 financial decision-makers, nearly 90% of companies are grappling with inefficient and manual payment processes.
The survey highlights the most significant issues: 47% of businesses report their payment operations as manual, while 35% describe them as complicated. Slow and inefficient processes, affecting everything from payment returns to reconciliation errors, further exacerbate these challenges. These hurdles not only increase operational costs and risks but also waste employee time and can lead to costly audit mistakes.
Key findings from the survey include:
- 71% of respondents struggle to gain a complete view of money movement across multiple bank accounts, hindering their ability to make informed decisions.
- 68% report wasting significant time on payment operations, with over half of businesses (51%) still performing up to half of their payment processes manually.
- Notably, 84% of companies have invested in improving payment operations over the last 12-18 months, with a focus on payment automation to drive efficiency.
In response to these challenges, companies are increasingly turning to automation and AI to modernize their payment operations. The survey reveals that 64% of companies already use AI to automate payments, with 95% planning to do so in the future. Furthermore, 56% of companies use instant payment rails, with another 37% planning to adopt them in the next year.
Dimitri Dadiomov, CEO and co-founder of Modern Treasury, noted that legacy infrastructure limits companies’ ability to capitalize on innovations such as real-time payments and AI. However, modern payment technologies are offering a path forward, enabling businesses to streamline operations and reduce errors.
Rachel Pike, Chief Operating Officer at Modern Treasury, emphasized that real-time payment operations are essential for companies to meet the evolving expectations of instant access to goods and services. As transaction volumes rise, investing in modern payment infrastructure is not just an option but a necessity.
In conclusion, businesses must embrace automation, AI, and real-time payment systems to stay competitive in an increasingly fast-paced world. For more insights on how businesses can navigate these changes, read the full survey results here.
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