EuroFinance

For most of the past decade, treasury transformation meant improving visibility over cash. Connectivity with banks, automated reporting and better systems helped corporates understand where their liquidity sat across global accounts. Today, however, the focus is shifting.

“Previously it was visibility,” says Mohamed Kortam, Regional treasurer for Africa and the Middle East at Lesaffre, a manufacturer of yeast and fermentation products. “Now it’s not just visibility—you want speed and automation.”

Technologies such as artificial intelligence and digital currencies are driving this shift. Despite the excitement about these developments, the real transformation in treasury may be less about futuristic capabilities and more about improving the efficiency of everyday operations.

Automation before sophistication

Artificial intelligence is often discussed in terms of advanced forecasting or predictive analytics. In practice, however, the most immediate benefits are emerging in more operational areas.

Fraud detection is one area where the technology is already making a difference. “This is where it’s really picking up,” Kortam says.

AI is also beginning to support areas such as cash-flow forecasting. But one of the most underestimated benefits, he argues, lies in automating routine treasury activities. Tasks such as bank reconciliations or extracting reports can consume significant amounts of time. Automating these processes can free treasury professionals to focus on more strategic work, Kortam added.

“It can be as simple as automating someone’s tasks,” Kortam explains. “If you’re automating reconciliations or extracting reports, you’re adding hours to your work.”

Despite these opportunities,  AI adoption remains gradual. A major obstacle lies in legacy systems, many of which were not designed to accommodate AI capabilities. Companies often face a choice between adopting entirely new solutions or waiting for existing treasury management systems to evolve.

“The infrastructure of the system needs to be changed dramatically to incorporate AI,” Kortam says, noting that this transition will inevitably take time.

 Human judgement still matters

Even as automation expands, the role of human expertise remains central. AI can process data and identify patterns, but it cannot replace strategic thinking or business judgement.

“AI is ultimately a tool. It’s not here to replace you,” Kortam says.

Treasury professionals still need to define strategy, assess risks and evaluate whether the outputs produced by AI systems make sense within the broader context of the business. Governance is also critical. Organisations must establish clear frameworks for AI tools usage, what data they can access and how results are validated.

AI may generate analysis, but treasury teams must explain it clearly to senior leadership. “You need to have the ability to explain it to others,” he adds.

The growing role of stablecoins

Alongside AI, digital currencies—particularly stablecoins—are attracting more attention in treasury discussions. One of their key advantages lies in improving cross-border payments.

“They provide 24/7 availability of payments,” Kortam explains.

This can be particularly valuable in emerging markets, where access to foreign currency and cross-border payment infrastructure may be limited. Stablecoins backed by US dollars allow businesses to access dollar liquidity more easily.

Adoption is already growing in regions such as Africa, he notes, although regulatory frameworks remain less developed than in Europe or the United States.

Regulation and infrastructure remain key

For stablecoins to become a mainstream treasury tool, several challenges must be addressed. Regulation is the first. Governments must decide how these assets fit within existing financial systems and whether they represent a risk to monetary control.

Infrastructure is another hurdle. Treasury management systems need to support both traditional bank payments and stablecoin transactions within the same environment. Without that integration, adoption will be limited.

Finally, clearer accounting treatment is needed. Many finance teams still lack guidance on how stablecoins should be recorded in financial statements.

Until these issues are resolved, adoption will be gradual. But the direction of travel is clear. As automation expands and digital payment technologies mature, treasury’s next phase of transformation will be defined not simply by visibility, but by speed and efficiency.

Mohamed Kortam, Regional treasurer for Africa and the Middle East at Lesaffre, will be speaking at the 13th Annual Treasury & Cash Management in Africa & the Middle East in London this March.  He will speak in the session “New treasury technologies: from AI to stablecoins”, alongside Nick Philpott, Co-founder and head of partnerships at Zodia Markets; and Sophia Bantandis, Director, future of finance at Citi.