Excessive cost of transferring funds across borders

Transferring small amounts of money across borders is slow, prohibitively expensive and unreliable.

In 1993 the average transfer time for transferring $150 from one EEC/EU country to another through European banks was 6 to 8 days. The cost, including bank commissions, was equivalent to 14% of the value transferred. Customers have little redress in the event of banking errors during such transactions.

1. Although there is a problem with low-value transactions, the demand is simply not great enough to justify changing current systems.

1. Inadequacies of the international monetary system
2. Excessive costs

1. Inability of countries to adopt appropriate exchange rate policies
2. Foreign exchange restrictions
3. Exchange rate volatility
4. Dual exchange rate systems
5. Discriminatory exchange rate policies
6. Conflicting laws concerning bills of exchange and promissory notes

1. Non-convertibility of currencies
2. Delay in transferring funds across borders

1. Increasing mobility of funds across borders

1. Excess
2. Delay
3. Costliness