EuroFinance

With tariffs in the picture and global trade tensions once again making headlines, treasury teams are facing renewed pressure to navigate currency volatility with precision. For treasurers, trade restrictions affect foreign exchange exposures, making it harder to forecast cash flows and increasing the need for smarter, faster hedging strategies.

In this climate, the demand for automation in FX workflows is growing, but so is the need for human oversight. Striking the right balance between efficiency and control has become a defining challenge for treasury teams looking to stay resilient in uncertain times.

These questions were at the center of a recent discussion with Nita Baindur, associate vice president and assistant treasurer at Agilent Technologies at Treasury & Cash Management Summit West Coast. Baindur offered an inside look at how teams are managing FX in this high-stakes environment—what they’ve automated, where judgment still matters, and how AI might reshape the future of treasury operations.

The building blocks of FX automation

At Agilent Technologies, established as a spin-off from Hewlett-Packard in 1999, which provides instruments, software, services, and consumables for laboratories, FX processes are already significantly automated but still rely heavily on human oversight. Baindur explained the workflow in detail, mapping out how data flows into their Treasury Management Software (TMS) for exposure management, where local controllers manually refine automated forecasting models. “There’s human judgment involved in deciding how much to hedge,” she noted, emphasising that while some tools are in place, certain actions—such as trade execution—remain manual as a form of internal control.

“There’s a lot of automation, but some pieces are deliberately kept manual—not because they can’t be automated, but because we choose to retain control,” Baindur said.

AI as the next frontier—but with caveats

As conversations about generative AI and machine learning gain traction across industries, Baindur sees promise—but also risks—when applying AI to treasury.

Baindur highlighted several five areas where AI could make a meaningful impact: improved forecasting with predictive analytics, enhanced decision-making, customized hedging strategies, automated data mapping, real-time monitoring, automated trading and error reduction. “AI doesn’t sleep,” she said, pointing out how a machine’s 24/7 readiness could help navigate trading across multiple time zones. “With enriched data and dynamic learning, forecasts could become much more accurate.”

Baindur added a similar cautionary note, referencing the Netflix series Zero Day, which imagines a world where hackers exploit system vulnerabilities to trigger global chaos. “Overall, AI enhances the efficiency, accuracy, and effectiveness of Forex risk management, making it easier for businesses to navigate the complexities of the global currency market. But for now you need to have human oversight and a backup plan.”

Governance, cross-functional collaboration and future

Companies are carefully adopting AI. Agilent has introduced a basic AI policy, which Baindur sees as a critical first step in building proper governance. She stressed the need for accountability, transparency, explainability, privacy, ethical use and cross-functional discussion. “It shouldn’t be limited to a privileged few,” she said. “Democratise access. Train people. Create space for creative thinking—but with guardrails.”

Looking ahead, Baindur outlined a vision of treasury where AI and machine learning underpin predictive analytics, automated hedging, and real-time alerts. “We’re not there yet,” she said. “But imagine a system that knows your FX policy, understands your risk appetite, and gives you a tailored hedging strategy.”

She also sees room for interactive dashboards that adapt to new KPIs and dynamically present FX performance, helping treasurers make better-informed decisions.

Tech is a tool, not a substitute

Although AI is being promoted across industries, the conversation with Baindur underscores a grounded truth: successful FX automation isn’t just about deploying new tech. It’s about reimagining processes, building the right partnerships, and knowing where machines can help—and where human judgment is irreplaceable. “Even if AI gives you the answer, you are finally accountable,” Baindur emphasised. “You need to understand what you’re doing.”

Baindur’s experiences also serve as a reminder that real transformation takes time. It’s iterative, collaborative, and often imperfect. But with the right balance of innovation and caution, treasury teams can not only deliver greater accuracy and efficiency—but also become more resilient, responsive, and prepared for the future.