Visa index shows Asia-Pacific firms seek faster funding

Visa has released its latest Working Capital Index for Asia Pacific, covering mid-sized companies across the region.

The report found that 47% of firms with annual revenue between USD $50 million and USD $1 billion do not use working capital tools, even as finance chiefs say they want simpler digital products and faster access to funds. Visa surveyed 298 chief financial officers and treasurers in Asia Pacific as part of a broader study of more than 1,300 respondents across 23 countries and territories.

Funding gap

The findings highlight a mismatch between the financing products banks offer and the operating needs of many mid-sized businesses. Some 41% of companies want simpler digital tools for credit and account management, while 38% are seeking on-demand finance that matches cash-flow cycles.

The gap comes as companies in the region face longer cash cycles, payment delays, and pressure to free up liquidity more quickly, particularly in cross-border operations. Many existing products remain too rigid or too generic for businesses operating across different sectors and markets in the Asia Pacific.

Working capital management has moved beyond a back-office finance issue for many firms and is increasingly tied to how they respond to market shifts and funding needs. In the survey, 9% of firms said they had used working capital solutions to fund unplanned growth, up from 5.6% in the previous edition.

Cash flow pressure

Late customer payments remain a high cost. The index found that such delays cost companies an average of USD $15.7 million a year, while businesses using card payments to speed up collections reduced those losses by about 10%.

Companies using working capital solutions reported an average annual bottom-line benefit of USD $17.7 million, equal to a 4.3% revenue increase. The study linked those gains to tools such as early supplier payments, virtual cards, and flexible funding arrangements.

The findings underline a divide between firms that have embedded working capital into routine financial management and those still relying on more traditional arrangements. Businesses with better visibility over receivables and payables are in a stronger position to redeploy cash within their operating cycle.

Bank expectations

The survey also points to changing expectations of banks and other finance providers. In the Asia Pacific, 61% of respondents said they now use artificial intelligence or machine learning for working capital optimisation, including forecasting, risk scoring, and automated approvals.

Finance chiefs want quicker, more flexible access to liquidity through digital channels. They also value banking partners that understand the funding patterns of their industries, including supplier terms, seasonality, and capital expenditure requirements.

These demands are especially pronounced in the Asia Pacific, where companies often operate in volatile markets and must react quickly to shifts in supply chains, customer payments, and trade conditions. For banks, that creates pressure to streamline approvals and tailor products more closely to business cycles rather than offer standardised facilities.

Visa said the results show that many mid-sized companies remain underserved by current financing tools, despite wider use of digital systems in treasury and finance teams. The data suggests digitisation alone is not closing the gap if products do not reflect how companies actually manage cash.

Asia Pacific accounted for 298 respondents in the latest edition of the index, which covers eight industry segments. Visa defines growth corporates as mid-sized firms with annual revenue of between USD $50 million and USD $1 billion.

"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."