International payments and the Forex market are evolving in an increasingly complex environment, marked by a proliferation of international regulations. These rules, while essential to ensuring financial stability and combating illegal activities, are reshaping the practices of exporting and importing companies. From the management of international transfers to dollar-euro conversion, SMEs have to navigate between compliance, increased costs and currency risks. This article explores the impact of regulations on international payment methods , and proposes solutions to transform these constraints into opportunities, notably with tools such as those from Keewe.
International payments no longer boil down to a simple SEPA or SWIFT international credit transfer. Today, every foreign transfer is scrutinized through a strict regulatory prism, aimed at guaranteeing transparency, security and sustainability. Regulations such as the CSRD (Corporate Sustainability Reporting Directive), MACF (Carbon Border Adjustment Mechanism), EUDR (EU Deforestation Regulation), AML/KYC (anti-money laundering and know-your-customer) laws, international sanctions, and ESG (environmental, social, governance) reporting requirements are multiplying. According to a study by the Bank for International Settlements (2023), compliance costs have risen by 15% for financial institutions between 2018 and 2022, a burden that is being passed on to businesses.
Why are these regulations such a game-changer? For exporting and importing companies, they require more rigorous management of foreign currency transfers and exchange rates, while increasing the risk of non-compliance. Against this backdrop, how can SMEs adapt to these new requirements while remaining competitive?
An explosion in regulatory obligations
Companies operating internationally face an avalanche of regulations. The CSRD, which comes into force in 2025, requires European companies to publish
detailed reports on their environmental impact, including international payments. The MACF, or border carbon tax, imposes additional costs on importers to offset emissions linked to incoming products. TheEUDR requires strict traceability of supply chains to avoid deforestation, impacting SWIFT transfers linked to these transactions. In addition, AML/KYC laws, promoted by the Financial Action Task Force (FATF), impose rigorous identity checks, while international sanctions, such as those against Russia, restrict foreign transfers in certain currencies.
Cross-border payments under scrutiny
Every international transfer is now scrutinized by regulators. For example, a SWIFT international transfer to a country under sanctions can be blocked if AML/KYC checks are not respected. In 2022, the Banque de France noted that US sanctions had reduced the propensity of French exporters to invoice in US dollars to Russia by 4 percentage points, forcing a diversification of payment currencies.
The weight of conformity
Compliance is becoming an essential part of the payment cycle. Companies not only have to ensure that their international payment methods comply with the rules, but also produce detailed ESG reports. This increases the administrative burden, particularly for SMEs, which often lack dedicated compliance resources.
Regulations such as PSD2 (Payment Services Directive 2) require strong authentication for every international SEPA or non-SEPA credit transfer , lengthening processing times. A SWIFT transfer takes an average of 2 to 5 days, according to SWIFT (2022), but AML/KYC checks can add several extra days, disrupting the cash flow of SMEs.
Risk of blockage or rejection
Failure to comply with regulations can result in a foreign currency transfer being rejected. For example, in 2023, European companies saw their payments to Russia blocked due to sanctions, forcing them to find alternative international trade payment methods, such as payment in yuan, which now accounts for 2.7% of global payments (Statista, 2024).
Higher operating costs
Compliance costs : Banking compliance costs have risen by 15% between 2018 and 2022 (BIS, 2023), a burden passed on to businesses via higher fees for foreign transfers.
Transparent exchange rates
Regulations require greater transparency on exchange rates applied when converting dollar euro or other currencies. In the UK, new FCA rules (2023) have forced Forex brokers to clearly display their fees, reducing costs for Solihull traders, as reported by FCA. In Europe, PSD2 imposes clear notifications on conversion costs, protecting companies against hidden margins.
Foreign exchange risk management
Forex volatility is a major challenge, with the euro testing parity with the dollar (1.00 USD/EUR) in Q1 2025 (J.P. Morgan, 2024). However in Q2 2025, the euro climbed sharply against the dollar, reaching 1.12 USD/EUR in April after Trump implemented tariffs, which weakened the dollar.
Companies can use futures, forward contracts or forward market tools to protect themselves. For example, a forward contract can lock in an exchange rate for a future foreign currency transfer, reducing uncertainty. However, these tools remain complex for SMEs without expertise.
Restrictions on currency flows
International sanctions, such as those limiting USD/CNY transactions, have altered cross-border flows. In 2023, secondary US sanctions on dual-use goods reduced the use of the dollar in trade with Russia, increasing the volatility of pairs such as USD/RUB and prompting companies to diversify their currencies.
Margin loss due to volatility
Poor exchange rate anticipation can be costly. For example, a French SME exporting €500,000 to the United States could lose €23,800 if the euro falls by 5% against the dollar when converting from dollars to euros. In 2020, 60% of European SMEs reported losses due to currency volatility (ECB SAFE Survey).
Risk of fines and blockages
Failure to comply with regulations exposes the company to fines or payment blockages. In 2015, banks such as JPMorgan Chase were fined $10 billion for manipulating Forex exchange rates, showing that even the big players are not immune. For an SME, a blocked SWIFT transfer can paralyze a key transaction.
Stress for teams
- Finance teams: Managing dollar-euro conversions and foreign transfers is becoming more complex as a result of new regulations.
- Compliance: Teams must check every international transfer to avoid penalties.
- Export management : The pressure to find compliant international trade payment methods is increasing.
Keewe offers tailored solutions for navigating this complex regulatory environment while optimizing your international payments.
Compliant, traceable payments
Keewe guarantees 100% AML/KYC-compliantinternational transfers, anywhere in the world. Whether it's a SEPA international credit transfer or a SWIFT international credit transfer, your transactions are traceable and secure.
Competitive and transparent exchange rates
With Keewe, you benefit from competitive and transparent exchange rates for your foreign currency transfers. Unlike banks, which add hidden margins, Keewe clearly displays costs. What's more, simple hedging solutions, such as alternatives to forward contracts, protect you against Forex volatility.
Tools to secure your transactions
Keewe offers integrated tools for :
- Track your foreign transfers in real time.
- Secure your transactions against the risk of non-compliance.
- Avoid the pitfalls of compliance thanks to an intuitive platform.
Specialized support
Keewe supports its customers over the long term with global solutions. Our team of experts specializes in managing international payments and emerging market risks, helping you to optimize every international transfer while complying with regulations.
International regulations, from CSRD to sanctions, are here to stay. They complicate international payment methods and Forex, but agile companies can turn them into a strategic lever. By adopting compliant international trade payment methods and effectively managing exchange rates, SMEs can turn these constraints into competitive advantages.
With Keewe, simplify your SWIFT transfers, secure your transactions, and align your operations with global requirements. Ready to turn regulation into an asset? Find out how Keewe can support you in this new economic landscape.