Global Fintech Market Predicted to Grow Nearly $0.5 Trillion Buoyed by Favourable Governments’ Schemes
- The global Fintech market could rise to nearly $0.5T.
- Government schemes are driving the growth of the Fintech market worldwide.
- Digital payments are critical for financial inclusion.
From online payments to robo-advisors, Fintech has revolutionized the financial industry recently. The growth of the Fintech market has been impressive, and it shows no signs of slowing down. CryptoMonday.de predicts that the global Fintech market will grow to nearly $0.5 trillion by 2025. Favorable government schemes and increasing adoption in emerging markets are triggers for growth. The global fintech market was worth $110.57 billion in 2020. However, with a CAGR of 20.3% between 2021 and 2030, the market might hit $0.5T.
CryptoMonday's Jonathan Merry spoke on the issue:
We are witnessing an exciting time in the Fintech industry. Governments worldwide are recognizing the immense potential of Fintech to transform financial services. They offer their support, which will drive innovations and financial inclusion.CryptoMonday CEO, Jonathan Merry
Government Support for Fintech
Governments around the world have been actively supporting the growth of fintech companies. They have been offering tax incentives and grants to fintech companies to help achieve financial inclusion. As a result, fintech's growth in emerging markets is outstanding.
Also, governments in each nation use a variety of measures to promote digital payments. For instance, the Unified Payments Interface (UPI) was introduced by the Indian government in 2016. Via the UPI, consumers can use their mobile devices to send money directly from their bank accounts in real time. It is the most widely used digital payment option in the nation today. Similarly, the UK government introduced the Open Banking project in 2018.
The Rise of Digital Payments
The growth of digital payments has been a significant factor in the fintech industry's growth. With the rise of mobile devices and the internet, consumers seek convenient, secure, and affordable payment methods.
Fintech companies have been at the forefront of this trend. They offer various digital payment solutions, from mobile wallets to peer-to-peer payments. As consumers become more comfortable with digital payments, the market for fintech companies is set to grow even further.