At the recent CPA conference in Ottawa, Canadian business leaders raised alarms about the potential decline in the country's competitiveness due to a lack of payment innovation. The discussions highlighted the urgent need for Canada to adapt and evolve its payment systems to keep pace with global trends. The source notes that without timely adoption of innovative payment solutions, Canadian businesses may face increased operational costs, slower transaction speeds, and reduced attractiveness to international investors.
Risks for Canadian Firms
Musheer Ahmed, founder of Finstep Asia, emphasized the risks Canadian firms face if they do not embrace new payment technologies. He pointed out that without the opportunity to trial innovative payment systems within local ecosystems, businesses may miss out on significant global opportunities.
Call for International Best Practices
Ahmed urged Canadian regulators to consider international best practices, citing examples from:
- Hong Kong Monetary Authority (HKMA)
- Virtual Assets Regulatory Authority (VARA)
Proposed Solutions for Competitiveness
He proposed the implementation of regulatory sandboxes and pilot programs that would allow for experimentation with new payment solutions while regulations are being developed, ensuring that Canada remains competitive in the evolving financial landscape.
Currently, the US dollar's influence remains a focal point in global finance, as highlighted in a recent article discussing its role as a lifeline for economies worldwide. For more insights, read the full article here.
