This trend is expected to continue, and leading banks with the right expertise are tailoring products and services to meet increasing demand and winning new clients.

Lawrence Webb, Asia-Pacific head of payments and cash management for HSBC, said: 'Cash management as a corporate discipline has existed in Europe and North America for at least 50 years.'

'In the west, where they had economic cycles, companies saw a need for this. In Asia, it has come of age only in the past few years.'

Experts in payments and cash management help companies set up accounting systems, reconcile income and receivables, and enhance the capital position. They look for the cheapest and most direct methods of collection and payment, try to reduce the number of separate accounts, and provide advice on managing liquidity and minimising foreign exchange exposure, especially for companies working in different markets.

Without a rigorous approach in such matters, companies may run into cash flow problems. They could end up with multiple bank accounts spread among different institutions, for example.

'If the treasurer does not know about all of those accounts or about the extensive terms of trade, the company is much more exposed,' Mr Webb said.

This was the case with many Asian businesses before the economic crisis hit.

Today, international companies established in Asia need similar assistance to streamline and protect their operations. During the start-up phase, they may also need advice from their bankers about the local culture, business environment and customs of the region.

For example, it may surprise them to learn that Japan does not use cheques, that many transactions in Vietnam are done in cash, or that in the Philippines it is customary to issue a receipt when receiving a cheque.

Even executives with extensive business experience may be unaware that China has multiple clearing zones, that Thailand has a withholding tax, or that South Korea makes extensive use of internet banking.

India is another country where idiosyncrasies can be found. HSBC expects payments via mobile phones to take off soon in the country. It will happen once the technology and support infrastructure are in place.

In fact, across the region, technology is now a fundamental part of most banking processes and, at HSBC, all cash management services are delivered through the internet or from host to host.

Advanced technology is essential for a bank to win new payments and cash management business.

Bank clients also realise the value of strong relationships and local expertise, including the ability to speak the language of the region.

Bonnie Chiu, sales manager, payments and cash management for HSBC, said: 'Companies have a vision for the long term, so they look for a bank with financial stability and a good reputation for internal control.'

Mr Webb said the level of trust is what differentiates one bank from another- after clients have considered the products, services and technology on offer.

Selecting the right bank and then implementing new systems can be a difficult, even gruelling, process for companies.

This exercise can take more than a year.

'Finding a payments and cash management bank involves internal process changes and convincing many different people,' Ms Chiu said.

'The client wants to find one bank that will meet its needs for five or six years at least.'

From the bank's point of view, bidding for company mandates is both challenging and exciting. After months of meetings, devising specific products for the clients and presenting their case in the best possible light, the bid team knows there will be only one winning bank. HSBC secured a major contract with Unilever in March last year.

As demand grows, payment and cash management services are becoming a significant source of revenue for the bank.

'A lot has been spent in the past five to seven years on risk and cash management,' Mr Webb said.

In the past 18 months, according to HSBC, there has been rapid expansion in these services as Asian companies reorganise internally to compete in global markets.

Whatever the strength of the region's economy in the next few years, this demand is unlikely to falter.