The use of phones and tablets to make business payments is on the increase in Bermuda, according to the Island’s largest bank.

HSBC said its HSBCnet mobile, introduced to the Island last year, was becoming popular with corporate treasurers and chief financial officers.

HSBC Bermuda head of payment and cash management Chris Knorr said: “As the corporate world further embraces mobile technology for their banking transactions, we will continue to advise our customers of the clear benefits while providing them with the necessary tools so they can easily transition to this new paradigm.”

She explained: “Global businesses operating here no longer need to experience delays in authorising payments, when chief financial officers and/or treasurers are required to travel.

“This has a huge and growing appeal for our customers.”

The bank said HSBCnet mobile, which was first introduced elsewhere in 2011, had now hit the $50 billion mark globally for mobile payments and that the figure was expected to double in the next 18 months.

It added that technological change in the banking sector had originally focused on retail customers, with systems that can, in some cases, make payments with only the other person’s cellphone number.

HSBC said, however, that the corporate side of banking had “lagged behind” in mobile innovation.

The bank added: “While the technology exists, business to business mobile payments have yet to be widely adopted on the scale seen in retail banking.

“Some companies continue to pay and receive funds using decades-old methods such as paper invoices, banker’s drafts and cheques.”

The bank said that mobile banking could help introduce new ways of doing business and generate information about a company’s operations that was previously unavailable.

And HSBC experts said it was particularly useful for emerging market buyers or suppliers as cheques could be lost in the post and exchange rates might change, while recipients may not have easy access to bank branches.

They added that cash flow could be improved, which would boost credit ratings and terms, while increasing a company’s reputation for solidity.

Diane Reyes, HSBC’s group general manager and global head of payments and cash management, said: “In the mobile world, if you are a creative player and you can adapt quickly, you will thrive, gaining at the expense of rivals who are slower to embrace mobile.

“Mobile for business is both and enabler and a powerful force for change.”

HSBCnet is available in 54 countries of territories, in 21 languages and uses the same security measures as the online version.

A special HSBCnet mobile app is up and running in 26 countries and more are due to be added this year.