Introduction
The financial world is a constantly evolving landscape. Everyday new regulations, market demands, and technologies emerge. But as technology advances and the industry shifts towards more cloud-based solutions, new demands are being placed on legacy systems. They must now seamlessly connect with newer systems to remain competitive in the global financial landscape. Keeping track of these changes and adapting to new connectivity methods to stay ahead of the curve is crucial. We sat down with Luis Benitez, Axletree’s Swift Product and Relationship Manager, to explore the advantages of SWIFT’s Business Connect program and how to best leverage it.
Industry Shifts
Traditionally, financial and non-financial institutions have always been responsible for setting up and maintaining their own infrastructure and connection to SWIFT. This means managing complex, on-premise hardware, securing connections to the correct networks, ensuring they have the right in-house expertise in place, and dedicating significant time and money to stay compliant with the dynamic financial landscape. They could also use a third-party SWIFT service provider, such as a SWIFT Service Bureau, to manage all of that complexity on their behalf.
However, all of this is shifting with the addition of neobanks to the financial ecosystem. This new generation of banks exists without the traditional “brick and mortar” building or infrastructure and has no need to integrate legacy systems with cloud-based systems. This has challenged traditional models and created a critical need for frictionless connectivity between existing legacy systems and modern systems. The rise of APIs and cloud services has also become a central part of this evolution, offering new ways to connect and operate without the limitations of traditional infrastructure. In fact, cloud-based solutions have greatly enhanced operational efficiency, with a “significant 65% of neobanks migrating entirely to cloud infrastructure” (CoinLaw).
SWIFT Business Connect: Who is it for?
The financial industry’s shift toward cloud-native solutions is a fundamental change in how institutions operate. At the forefront of this operation for international financial connectivity is SWIFT Business Connect. As Luis Benitez highlights, “this is a program that is not only providing Swift communication services, but is also helping Axletree deliver more value to our customers”. Business Connect is a new method of connectivity to the SWIFT network designed to make it simpler for providers to connect their clients with a minimized footprint, enhancing the customizable options available for a SWIFT connection. Since SWIFT manages the cloud infrastructure themselves, SWIFT providers, such as Axletree, can dedicate more time and resources to meeting their clients’ needs and providing enhanced value.
This program represents a strategic move to meet the needs of this new generation of financial players, like neobanks and Fintechs. While traditional SWIFT connectivity relies on a more complex, on-premise infrastructure, Business Connect is built on an API-first approach, which means that unlike previous connectivity options where APIs are introduced as add-ons, APIs are the core building blocks of this service.
SWIFT Service Bureaus, such as Axletree, adopt the Swift Business Connect program to simplify the connection process for their clients. Business Connect provides the API-based foundation that allows us to deliver SWIFT connectivity more efficiently. To take advantage of SWIFT Business Connect, both financial and non-financial institutions can subscribe to the connectivity and messaging services offered by their Business Connect-enabled SWIFT service provider, offering quicker onboarding and faster connectivity, eliminating the need to manage complex SWIFT infrastructure in-house, and allowing them to focus on their core business.
Your institution can benefit from a Business Connect-enabled Swift provider in multiple ways:
- Scalability and Flexibility: As a SaaS, or Software as a Service, application, SWIFT Business Connect allows organizations to easily increase their message volume without significant hardware investment. The entire infrastructure, or specific components/services, can be hosted in the cloud, providing a faster time-to-market and more flexibility.
- Seamless Integration: Business Connect allows institutions to embed SWIFT connectivity directly into their own business applications and services. For fintechs and digital-first neobanks, this means they can provide their customers with secure access to the global financial ecosystem without having to manage legacy, disconnected infrastructures.
- Enhanced Customer Experience: This API-first approach increases accessibility for users connecting to SWIFT, by simplifying the access protocols and traditional complexities of SWIFT connectivity. Through using a Business Connect-enabled Swift provider, organizations can use enhanced SWIFT services seamlessly through their provider’s platform, streamlining their own client onboarding and daily operations.
Making Sense of the Options
Choosing the right path for Swift infrastructure is a critical, and personal, decision for financial and corporate institutions to make. Some organizations may still prefer traditional, on-prem setups because the infrastructure already exists and they have a long-standing familiarity with the security and control in place. However, for institutions that were born in the cloud, such as neobanks, the API-first, cloud approach of SWIFT Business Connect may be a more natural fit. It’s important to note that regardless of which path an institution chooses, the destination remains the same. “You’re reaching the same point and you’re going to get the same information. But how you interact as a user to connect to that same destination will be a different experience,” Benitez adds. Making these decisions comes down to an organization’s specific priorities and objectives when it comes to speed, resilience, security, and scalability – the best structure will be the one that is tailor-fit to meet each organization’s specific needs.
Conclusion
At Axletree, we see SWIFT Business Connect as a critical tool for building a more efficient and frictionless financial connectivity future. The financial industry is at a crossroads, with neobanks and cloud-native solutions driving a new era of connectivity through speed and scale. The API-first approach of SWIFT Business Connect provides the scalability, flexibility, and enhanced user experience necessary to thrive in this new landscape.
Whether your institution is a traditional financial player looking to modernize its legacy systems or a digital-first neobank seeking seamless integration, adapting to these shifts is non-negotiable. Leveraging innovative solutions such as Swift Business Connect is the key to staying competitive and meeting the evolving needs of your customers.
Ready to modernize your financial operations? Connect with us to learn more about how Axletree’s experts can help you navigate the evolving global financial landscape and efficiently grow your business.
Reference
Burnett, S. (2025, June 16). Neobank Industry Statistics 2025: Revenue, Profitability, and Market Segmentation. CoinLaw. https://coinlaw.io/neobank-industry-statistics/
