Unlocking Growth: Working Capital Trends in 2025 and the Rise of Liquidity Acceleration

In 2025, working capital has emerged as a cornerstone of strategic growth for mid-sized corporations, with liquidity acceleration and operational efficiency driving transformative outcomes. According to the Visa 2024–2025 Index, top-performing CFOs and Treasurers are leveraging digital tools, artificial intelligence (AI), and corporate cards to unlock millions in savings and fund innovation. This shift reflects a dual approach: the Strategic Planner, who uses working capital for long-term expansion, and the Adaptable Accelerator, who prioritizes short-term volatility management. Middle-market companies, in particular, have achieved an average of $19 million in savings through optimized working capital practices, underscoring the tangible financial benefits of these strategies.

The Digital Transformation of Working Capital

Technology is reshaping how growth corporates manage liquidity. AI adoption has tripled cash flow visibility since 2023, with 58% of firms in 2025 utilizing AI for forecasting and workflow automation, according to the Visa index. This surge is most pronounced in Europe, where real-time data analytics enable precise inventory and receivables management. For instance, corporate and virtual credit card usage rose by 32% year-over-year, while bank lines of credit increased by 37%, reflecting a demand for agile financial tools, according to CTMfile. These solutions allow companies to navigate supply chain disruptions and global economic volatility with greater flexibility.

Sector-specific dynamics further highlight the impact of digital integration. In the technology industry, virtual cards and supplier payment systems are streamlining operations, while healthcare firms are relying 51% more on external financing to support expansion, according to the Working Capital Factbook. Retailers, meanwhile, face challenges in aligning working capital solutions with regional needs, particularly in CEMEA markets where 40% of companies report mismatches in available tools, as the factbook reports.

Sector-Specific Insights and Challenges

The industrial goods sector in the DACH region illustrates both the potential and pitfalls of working capital optimization. Days Inventory Outstanding (DIO) increased by 17% from 2019 to 2023, tying up capital in inventory due to supply chain disruptions and low-interest-rate environments, according to an HZ Group study. As interest rates rise, maintaining high Net Working Capital (NWC) has become costly, prompting a shift toward Just-in-Time (JIT) inventory systems and digital payment solutions, the study notes. Conversely, the capital goods subsector has seen a working capital ratio of 2.78 in Q3 2025, driven by reshoring initiatives and supply chain reconfiguration, according to CSIMarket.

Healthcare and retail sectors are also undergoing significant transformations. Health systems are investing in AI-driven digital transformation to reduce costs and improve care delivery, according to the Deloitte 2025 outlook, while retailers are adopting generative AI to enhance demand forecasting and customer engagement. These innovations are not only improving operational efficiency but also enabling companies to allocate resources toward strategic growth.

The Road Ahead: Strategic Priorities for 2025

As global trade shifts and rising tariffs reshape markets, CEOs are prioritizing working capital as a strategic lever. The Visa report notes that 62% of CFOs and Treasurers are using external working capital solutions to drive growth, with fleet and mobility companies reaping an average of $15.6 million in bottom-line benefits, according to Deloitte. However, challenges persist, particularly in sectors with inventory-heavy models.

For investors, the key lies in identifying companies that integrate technology into their working capital strategies. Firms that adopt AI, virtual cards, and supplier collaboration tools are better positioned to navigate macroeconomic uncertainties and capitalize on growth opportunities. As the Visa 2024–2025 Index concludes, the future belongs to those who treat working capital not as a constraint but as a catalyst.