International factoring industry puts technology and fraud prevention at top of agenda

Technology, fraud prevention and international receivables finance were among the dominant themes discussed at FCI’s 58th Annual Meeting in Lisbon, reflecting the changing priorities of the global factoring industry.

The event brought together factors, banks, insurers and receivables finance specialists from around the world at a time when international trade continues to face geopolitical uncertainty, supply chain disruption and growing digitalisation.

A recurring theme throughout the conference was the increasing role of technology in supporting international factoring and cross-border receivables finance. Industry participants discussed the need for greater automation, improved data quality and more efficient information exchange as transaction volumes continue to grow.

Fraud prevention was also high on the agenda. Recent fraud cases across trade and working capital finance markets have increased focus on invoice verification, customer due diligence and data integrity. Delegates highlighted the importance of technology and collaboration in helping factors identify and mitigate risks earlier in the transaction cycle.

International factoring remains one of the fastest-growing segments of the receivables finance market, with increasing demand from exporters seeking working capital support and protection against payment risk. The industry’s two-factor system continues to play a central role in facilitating cross-border transactions, particularly for SMEs trading internationally.

Discussions also focused on market development, regulatory engagement and the need to improve understanding of receivables finance among policymakers and investors.

The meeting follows a period of growing interest in working capital solutions as companies seek alternatives to traditional lending and look for ways to improve liquidity amid economic uncertainty.

For the factoring sector, the themes emerging from Lisbon suggest the industry’s future will be shaped as much by technology, risk management and data quality as by funding capacity alone.