Lending And Payments Global Market Report 2024

The lending and payments market size has grown strongly in recent years. It will grow from $11,495.08 billion in 2023 to $12,410.68 billion in 2024 at a compound annual growth rate (CAGR) of 8.0%. The growth observed during the historical period was driven by factors such as economic expansion, the proliferation of banking and financial institutions, increasing consumer demand, and regulatory conditions.

The lending and payments market size is expected to see strong growth in the next few years. It will grow to $16,828.1 billion in 2028 at a compound annual growth rate (CAGR) of 7.9%. During the forecast period, growth is anticipated to stem from digital transformation, the influence of fintech innovation, financial inclusion initiatives, advancements in blockchain and cryptocurrency, and the integration of data analytics and artificial intelligence. Notable trends during this period include the rise of peer-to-peer lending, the prevalence of contactless and mobile payments, the evolution of open banking, the development of embedded finance solutions, and the emphasis on sustainable and ethical financial practices.

Artificial Intelligence (AI) is increasingly becoming a focal point within the payments sector due to its multifaceted applications, empowering businesses to leverage data synthesis for the enhancement of customer experiences. AI encompasses the development of computer systems with human-like intelligence capabilities. Payment companies are capitalizing on AI's potential to elevate their operational efficiency by streamlining processes, reducing processing times, generating error-free insights, and boosting automation. A growing number of both banking and non-banking institutions are deploying AI applications to scrutinize payment transactions, spanning from the initial payment message to the payment gateway. As an illustration, payment firms are adopting AI-enabled chatbots that possess the capacity to comprehend natural language and deliver real-time responses to customer inquiries. Furthermore, AI-driven machine learning plays a pivotal role in fortifying fraud detection mechanisms and curbing erroneous transactions. As substantiated by the Economist Intelligence Unit's latest adoption study, 54% of financial services organizations have embraced AI to enhance payment processes and foster robust customer relationships.

The primary categories within the lending and payments sector include lending, cards, and payments. Within cards and payments, the process involves various card payment methods. These services can be accessed through both offline and online channels, catering to business-to-business (B2B) and business-to-consumer (B2C) clientele.

The lending and payments research report is one of a series of new reports that provides lending and payments statistics, including lending and payments industry global market size, regional shares, competitors with lending and payments share, detailed lending and payments segments, market trends and opportunities, and any further data you may need to thrive in the lending and payments industry. This lending and payments research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The surge in e-commerce activity is set to drive the expansion of the lending and payments market in the future. E-commerce, characterized by online transactions of goods and services, particularly through digital networks like the Internet, has significantly impacted the lending and payments landscape. This mode of commerce has contributed to the enhancement of lending and payment services, offering businesses expedited access to capital, improved sales figures, and streamlined checkout processes. For instance, as reported by the International Trade Administration in 2021, global retail consumer goods e-commerce sales surged from $4,891 billion in 2021 to $5,424 billion in 2022. As a result, the upsurge in e-commerce operations is steering the growth of the lending and payments sector.

Alternative lending is experiencing increased popularity by offering loans to individuals and businesses that face challenges accessing loans through conventional banking channels. The rise of alternative lending is predominantly due to traditional banks perceiving small business commercial loans as unprofitable. By leveraging advanced technologies like big data, alternative lenders gain data-driven insights that expedite the lending process. This approach enables these lenders to generate profits from loans typically considered unprofitable by traditional lending institutions. Notable examples of alternative lenders in this space include Lending Club and OnDeck.

Major players within the lending and payments market are integrating innovative solutions, such as public technology platforms, to enhance their market position and profitability. Public technology platforms encompass digital frameworks or online services accessible and utilized by the general populace. For example, in August 2023, the Reserve Bank of India, a central bank in India, introduced a public tech platform designed to streamline credit processes. This platform aims to ensure seamless access to crucial digital data for lenders, fostering more efficient financial transactions. By reducing costs, expediting distribution, and improving scalability, the platform can notably enhance the loan procedure. Moreover, it enables the integration of vital services like Aadhaar e-KYC and land records offered by select state governments.

Major companies operating in the lending and payments market include China Construction Bank, Agricultural Bank Of China, JPMorgan Chase & Co., Bank of China, Industrial and Commercial Bank of China, Bank of America Corporation, Banco Santander, Citi Group, Wells Fargo & Company, State Bank of India, Klarna Inc., Funding Circle, Advanced Financial Services Private Limited, Visa Payments Limited, Mastercard Inc., Tencent Holdings Limited, Ant Financial Service Group Co. Ltd., PayPal Payments Pvt Ltd., Square Capital LLC., Coinbase Global Inc., Social Finance Inc., Coinbase Global Inc., Robinhood Markets Inc., Venmo, Affirm Inc., Afterpay Australia Pty Ltd., LendingClub Bank., Camden Town Technologies Pvt Ltd., Kabbage Inc., On Deck Capital Inc., Avant LLC., Upstart Network Inc., Lendio.

Western Europe was the largest region in the lending and payments market in 2023. Asia-Pacific was the second largest region in the lending and payments market. The regions covered in the lending and payments market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.

The countries covered in the lending and payments market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa

The lending and payments include revenue by entities by providing secured or unsecured loans to borrowing entities, payment and money transfer services. The lending and payments industry is categorized on the basis of the business model of the firms present in the industry. Some firms offering lending services may offer other services, financial or otherwise. Revenues from lending and payments services include interest on loans, margins or commissions charged on transactions, and not the loan or repayment values themselves. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.


This product will be delivered within 3-5 business days.