This week, Capgemini published its 20th World Payments Report for 2025, highlighting the increased prevalence of digital wallets, peer-to-peer transactions and contactless payments. 

From the outset, the report made a bold statement that by 2028, 22% of all non-cash transaction volumes will comprise instant payments. This lends to the growing trend of consumers viewing instant payments as essential. 

Indicative of the explosion of non-cash payments is a significant surge in volume. Capgemini revealed that volumes rose to 1.4bn in 2023 and is on track to reach 1.65bn by the end of 2024. In line with the report’s 2028 prediction, Capgemini anticipates that non-cash transaction volumes will continue to rise by reaching 2.83bn. 

What is more interesting is that Europe, regarded as a prominent leader in payment innovation, is not the fastest growing region for non-cash transactions, that distinction belongs to the Asia-Pacific (APAC) region. 

These transactions for the APAC region saw a 20% year-over-year increase this year, compared to Europe (16%) and North America (6%). 

Despite instant payments being heavily viewed as the next step in transforming the transaction process, the World Payments Report revealed that banks are still hesitant for mass adoption as fraud concerns continue to linger. 

With banks lacking robust defences, and the potential for liquidity concerns, many opt to receive but not send instant payments. Based on the survey, only 25% of banks can receive instant payments and 53% are fully capable of sending and receiving them.

Notably, only 13% of European banks can claim a strong technology foundation for instant payments. This is particularly pertinent for EU banks and payment service providers (PSPs) with the October 2025 Instant Payment Regulation (IPR) deadline on the horizon, mandating all to offer full instant payment send and receive functionality.

The European Central Bank introduced SEPA Instant Payments as its dedicated payment rail for near-instant euro payments. Whilst demonstrating a commitment to delivering a faster transaction process, the Capgemini report revealed that European banks, financial service providers and merchants are yet to embrace the rail fully. 

Laurent Descout, Co-Founder and CEO of Neo, told Payment Expert upon the release of the World Payments Report that European players must focus on finding the right partners for better instant payment adoption, as technology is “essential” for treasurers. 

He said: “Despite the EU prioritising instant payments with the introduction of its SEPA instant payment regulation, it’s clear the majority of banks aren’t ready to lead the way. Europe’s move to make euro money transfers happen within ten seconds will transform how businesses manage cash, slashing transaction costs and boosting liquidity efficiency.  

“However, very few banks actually have the capabilities in place to provide this. Businesses must find the right partners who can help them leverage instant payments to enhance treasury operations and drive growth.

“Technology is no longer optional but essential for treasurers, as accurate data is crucial. Treasurers who haven’t yet upgraded should act swiftly to explore solutions that offer real-time cash flow reconciliation and forecasting, ensuring they stay competitive and efficient.”

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In regards to account-to-account (A2A) payments, Europe is progressing with its Wero wallet, which the report reveals is expected to accelerate its adoption of A2A payments with a 37% reduction in card transaction by 2027. 

A2A payments possess a more cost effective transaction method as it bypasses card network attached fees and poses a challenge to the likes of Mastercard and Visa’s dominance in the space. 

Furthermore, the rise of A2A payments had Capgemini estimating that its surge in adoption could result in a 15-25% decrease in future card transaction volume growth. However, in turn, this could also result in the industry losing billions in revenue. 

In his closing statements on the report, Global Head of Payment Services at Capgemini, Jereon Hölscher, said that the hunger is there from consumers for faster, more seamless payments and that’s why now is the time for banks to better prepare for the continued surge of instant payments. 

He said: “The continued surge in non-cash transactions is a watershed moment for banks and payment service providers. The data indicates an inevitable shift to a future of payments that is instant and open. 

“The progress seen with Pix in Brazil and UPI in India has laid out a clear marker that success hinges on private-public sector collaboration. While some financial institutions may upgrade their existing payment hub or tap into shared bank infrastructure, the fact remains that consumers are demanding instantaneity, and corporations are hungry and willing to pay a premium for innovative solutions that solve real business problems. 

“The time is now to put those foundations in place.”