Banking-as-a-Service Market to generate $11.34 billion by 2030, States the Report by Allied Market Research

A lead analyst at AMR highlighted that the banking-as-a-service market in Asia-Pacific is anticipated to grow at the fastest CAGR during the forecast period.

 Allied Market Research published a research report on the banking-as-a-service market. The findings of the report state that the global market for banking-as-a-service generated $2.41 billion in 2020, and is projected to reach $11.34 billion by 2030, growing at a CAGR of 17.1% from 2021 to 2030. The report offers valuable information on changing market dynamics, major segments, top investment pockets, and competitive scenarios for market players, investors, shareholders, and new entrants.

The report provides detailed insights on drivers, restraints, and opportunities to help the market players in devising several growth strategies. A significant surge in the demand for digital transformation technology in banks, persistent improvements in fund transaction services across the globe, and rapid adoption of innovative technologies in banks are expected to drive the growth of the global banking-as-a-service market. On the other hand, an increase in cyber attacks around the world is expected to hinder growth to some extent. However, an increase in investment in banking-as-a-service infrastructure to improve business values is predicted to create ample opportunities for the industry.

 “The cloud-based bank-as-a-service is expected to experience significant growth in the coming years, owing to the rapid adoption of cloud-based technology among several banks and financial institutions to reduce the maintenance cost and to upsurge their revenue opportunities as well as to provide enhanced customer services,” says Pramod Borasi, Research Analyst at Allied Market Research.

The report provides a detailed scenario of the impact of the Covid-19 pandemic on the banking-as-a-service market globally. The outbreak of COVID-19 has had a positive impact on the growth of the global banking-as-a-service market, owing to the presence of lockdowns in various countries across the globe. Lockdowns resulted in the increase in the use of digital transformation technology in banks to streamline financial services, which appreciably increased the demand for banking-as-a-service. In addition, rapid growth in internet penetration during the pandemic further increased the demand for banking-as-a-service.

The report offers a detailed segmentation of the global banking-as-a-service market based on component, type, enterprise size, end-user, and region.

Based on components, the platform segment held the largest market share in 2020, garnering more than two-thirds of the global market. The services segment, on the other hand, is predicted to cite the fastest CAGR of 19.5% during the forecast period.

Based on service type, the professional services segment held the majority market share in 2020, holding nearly three-fifths of the global market. The manages services solution segment, on the other hand, is expected to exhibit the fastest CAGR of 21.9% during the forecast period.

Based on region, the market across Europe held the lion’s share in 2020, garnering more than one-third of the global market. The Asia-Pacific region, on the other hand, is predicted to cite the fastest CAGR of 20.2% during the forecast period.

The key players analyzed in the global banking-as-a-service market report include Bankable, BBVA, ClearBank, Green Dot., and MatchMove Pay Pte. Ltd, Pi1, SolarisBank, Starling Bank, Square Inc., and Treasury Prime.