

Written by Royston Da Costa
The Treasury Management System (TMS) industry is undergoing a significant evolution, driven by technological advancements, regulatory changes, and the ever-growing demand for real-time financial insights. As treasurers navigate complex financial environments, TMS providers have had to innovate to address emerging needs. Here are some of the key trends I believe will transform the current TMS landscape in 2025:
1. Adoption of Artificial Intelligence (AI) and Machine Learning (ML)
This first point shouldn’t surprise anyone, as AI and ML are reshaping the way treasurers manage data and forecast financial outcomes. These technologies enable TMS platforms to analyse large datasets, identify patterns, and deliver predictive analytics. AI-powered tools help optimize cash forecasting, detect anomalies in transactions, and support decision-making by providing actionable insights. As these capabilities mature, they are becoming integral to TMS offerings.
It is also true that this technology is still evolving and we should continue to tread carefully, as the data produced using AI must still be checked and validated.
2. Focus on Real-Time Payments and Liquidity Management
The shift toward real-time payments is driving the need for TMS platforms to offer instantaneous liquidity updates. With the advent of initiatives like SWIFT GPI, ISO 20022, and domestic real-time payment systems, treasurers require tools to monitor cash positions in real time as well as FX and interest rate risk management solutions driven by live market data. TMS solutions are integrating with banking APIs and utilizing cloud technology to provide treasurers with a 24/7 view of their financial landscape. The significant ‘game changers,’ in my view, are API aggregators like Necto that do the ‘heavy lifting’ for corporates by connecting to multiple third parties, including banks. It is worth noting that APIs can also be used to connect to internal systems, offering additional automation and efficiencies.

WEBINAR ALERT: Fighting Fraud in 2025: Are You Ready for the Next Generation of Threats?
Over 70% of businesses have experienced fraud attempts, and the financial impact continues to rise. As fraud tactics become more sophisticated, relying on outdated prevention strategies simply isn’t enough.
Join Tom A. (Senior Fraud Consultant UK at Trustpair) and our very own Royston Da Costa (Assistant Treasurer at Ferguson PLC) on February 20, 2025, at 11:00 AM for an essential webinar that will equip you with the latest insights and strategies to protect your organization from evolving AI-driven fraud threats. Moderated by Patrick Kunz, FRM QT
What you’ll learn:
- How cyber fraud is evolving with real-world AI-driven scams
- Why confidence gaps in fraud detection are widening and what it means for finance leaders
- How to leverage technology for real-time fraud detection
- Why breaking down organizational silos is crucial for effective fraud prevention
This session is tailored for finance professionals, treasury leaders, and risk managers who want to stay ahead of fraud risks.
3. Cloud-First and SaaS Models
Cloud-based TMS solutions are rapidly gaining traction due to their scalability, lower implementation costs, and ease of integration with other enterprise systems. This has been particularly true since the Pandemic. Software-as-a-Service (SaaS) models allow treasurers to access their TMS from anywhere, enabling a more agile response to market changes.
Further Treasury Centralization has also been achieved through (i) Global Cash Management: unified management of multi-currency accounts and global cash pools, and (ii) In-House Banking (IHB): tools for managing intercompany transactions efficiently.
Additionally, cloud-first architectures facilitate regular updates and enhance cybersecurity measures.
Increasingly, SaaS solutions are migrating to the largest cloud-based providers like Amazon (AWS), Microsoft Azure, Google Cloud, IBM Cloud, and Snowflake (to name but a few), preparing the path for a more centralised platform for multiple solutions to be accessed from.
4. Enhanced Risk Management and Compliance Tools
With regulatory frameworks becoming increasingly stringent, treasurers face growing challenges in compliance and risk management. Modern TMS platforms are incorporating advanced compliance modules to help organizations adhere to regulations such as GDPR, SOX, and global tax standards. Automated risk assessments and stress testing are also becoming standard features, empowering treasurers to prepare for unexpected market shocks.
Again, AI is playing a significant role in shaping the functionality that TMS’s can offer in risk Management. In particular, the ability to process vast amounts of data and generate scenario analyses is very powerful.
5. Increased Integration with Enterprise Systems
Interoperability is a key demand in the current TMS market. Treasurers seek seamless integration between their TMS and Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), and Business Intelligence (BI) tools. This integration ensures a unified financial ecosystem, streamlining data flow and enhancing decision-making across departments. The additional benefit of enhancing cash flow forecasting is also extremely attractive.
6. Emphasis on Sustainability and ESG Reporting
As Environmental, Social, and Governance (ESG) considerations gain prominence, treasurers are looking for TMS platforms that support sustainability reporting. This includes tracking carbon footprints, analyzing the impact of green financing, and ensuring alignment with ESG standards. TMS providers are incorporating features to help companies measure and report on their ESG commitments effectively.
7. Advanced Cybersecurity Measures
Cybersecurity remains a top concern for treasurers, given the increasing sophistication of cyber threats. Modern TMS platforms are embedding robust security features, such as multi-factor authentication, advanced encryption, anomaly detection powered by AI, and vendor validation. These measures are critical to safeguarding sensitive financial data.
8. User-Centric Design and Automation
Ease of use is becoming a critical differentiator in the TMS market. Platforms with intuitive user interfaces, customizable dashboards, and automation capabilities are seeing higher adoption rates. Automating repetitive tasks, such as reconciliation and reporting, allows treasurers to focus on strategic initiatives and includes tools that optimize processes based on past behaviour and predictive insights.
9. Blockchain and Distributed Ledger Technology (DLT)
Although still in its nascent stages, blockchain technology is making inroads into treasury management. Applications include improving transparency in payments, streamlining trade finance, and enhancing fraud prevention. As adoption grows, blockchain could redefine transactional processes within TMS platforms.
10. Data-Driven Decision-Making
Data analytics is at the heart of modern treasury operations. TMS platforms are leveraging big data to provide deeper insights into cash flow trends, investment opportunities, and risk exposure. By harnessing advanced analytics, treasurers can make informed decisions with greater confidence. Customizable dashboards offering clear, actionable insights for CFOs and treasurers.
11. Future-Proofing Through Innovation
Quantum Computing: Although in early stages, quantum advancements promise to redefine financial modeling and risk assessment.
Decentralized Finance (DeFi) refers to a financial system built on blockchain technology that operates without traditional banks or intermediaries. There are numerous emerging applications in liquidity management and funding diversification.
Conclusion
The TMS industry is evolving at a rapid pace, with new technologies and shifting business needs driving transformation. Treasurers are seeking solutions that not only meet current challenges but also future-proof their operations. Providers that stay ahead of these trends—adopting AI, cloud solutions, and advanced risk management tools—are well-positioned to lead the market. As treasurers increasingly demand real-time insights, integration capabilities, and ESG support, the future of TMSs looks promising to meet the growing demands of agility, security, and efficiency in treasury operations.
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