CEO's annual letter to shareholders

Today, the world is changing. We are facing shifts in the geopolitical order, the technology landscape and the business environment. This uncertainty is felt everywhere — in every industry, country and community — and it’s impacting the way global businesses look at risk, investment and the future.

It has been more than a generation since we’ve seen such a drastic shift in global trade relationships and market dynamics. At the same time, we are witnessing the creation of new industrial ways of thinking, built on the revolutionary promises of artificial intelligence and quantum computing as well as on new technologies and forms of value. This dynamic environment is delivering unprecedented opportunities that will spur the next industrial revolution. It also brings with it an evolving universe of risk.

As the world makes huge leaps forward, it is clear that the forces that enabled decades of growth and globalisation and shaped the world are changing.

Connections still matter

While globalisation is shifting, the world continues to do business. Global trade actually peaked at an all-time high last year and instead of declining is not only growing, but evolving.

Trade is a fundamental driver of economic opportunity and over the past 30 years real GDP per-capita has tripled, lifting 1 billion people out of poverty. The effects of globalisation have not always been distributed equally but data shows that its impacts — on the whole — are a force for good.

One thing, above all others, has made this unlikely growth story possible: connection. While trading partners come and go, policies evolve and technologies emerge — the foundations of a stable and integrated financial system remain crucial to moving the world forward.

As a globally inclusive cooperative, Swift serves as an international public good by supporting economic progress in every corner of the world. And today, we believe that our role in keeping global trade connected is more important than ever.

Last year, we saw our traffic grow at the fastest pace in 15 years and our total volumes more than doubled compared to a decade ago. This data demonstrates the strength of our community, and also the tremendous trust that is placed in us to keep the world’s economies connected.

Fragmentation

In 2024, we refreshed and redefined our strategy — and this year we are pushing ahead to deliver against our strategic goals. Never has achieving an instant and frictionless future for international transactions been so critical.

As an industry, we are at a crossroads. While there are many reasons to be positive, there is also a looming risk that the combined forces of new technologies and geopolitics are driving the fragmentation of our financial system. And the stakes are high.

Research that we have commissioned shows that in a worst-case scenario, by the end of the decade financial fragmentation could reduce global GDP by as much as 6% and impact 280 million jobs.

There’s no doubt that innovation is a force for good and that it can drive incredible progress. It’s also true that not all innovation is promising or enduring. We believe that real progress builds on the strong foundations of our existing financial system rather than ripping everything out and starting from scratch.

Together, over the past few decades, we have driven major enhancements to the cross-border payments ecosystem to banish inefficiencies, enhance transparency and drive a modern, best-in-class experience. And as part of our work on the G20 goals, we have increased speed and, today 90% of all cross-border payments processed on the Swift network reach the beneficiary bank within an hour.

We are continuing to raise the bar — and there is still more to do. When international payments reach the final domestic leg, frictions remain with delays frequently occurring between a payment arriving at the end beneficiary bank and being credited to a customer’s account. This is due to either regulatory demands, local market practices or batch processing. That’s why, on behalf of our community, we are increasingly present in global forums where we engage with policymakers and regulators to support in identifying, addressing and Javier Pérez-Tasso solving these remaining frictions.

The support we are providing to the community on the migration to the new data standard for cross-border payments, ISO 20022, also supports the G20 ambitions for international payments. This standard not only has the potential to drive new efficiencies but also to futureproof our existing financial messaging infrastructure and enable interoperability with new forms of value and new networks.

Our strong focus on interoperability will help us deliver tomorrow’s infrastructure today. In 2025, we are moving forward with live trials to support the securities industry to settle digital asset trades instantly, reduce FX settlement risk and also automate digital cash payments for on-chain transactions.

Looking ahead

At Swift, we believe in a future where there will be more ways to move value, not fewer.

Today, people expect more choices, not less. For this reason, we are focused on working with our community to demonstrate the unique value that Swift can offer as a single window to enable end-to-end tracking, traceability and trust across all transactions — regardless of the forms they take, the networks they use or the way they settle.

Trust is also a form of value — one that can only be earned over time. Security, resiliency and reliability are much the same. Operational excellence is our license to operate, and our community trusts Swift to deliver a best-in-class experience. That’s the reason we have been able to grow with our community.

That’s what is at the core of Swift. We never take that trust for granted. And it motivates us to keep pushing toward the horizon, anticipating and preparing for what comes next. As a global community, we need to pay attention to the importance of staying connected. Even as the world around us changes, we can take some comfort in the continuity that Swift’s role, now, and in the future will remain the same — connecting the world’s economies seamlessly, securely and with certainty to allow the global financial industry to innovate, thrive and deliver 8 advancements in client experience.