According to Future Market Insights’ (FMI) industry estimate of the banking-as-a-service (BaaS) platform market, demand would grow at a high CAGR of 15.7 % from 2021 to 2031.
The survey also predicts that by the end of 2021, the market would have surpassed a valuation of US$ 2.8 billion. Rapid technical improvements, as well as the availability of application programming interfaces (APIs), have provided opportunities for banking-as-a-service (BaaS) platforms, according to FMI. These technologies have proven critical in boosting market growth by increasing economic competitiveness.
Important Takeaways: Platform Market for Banking-as-a-Service (BaaS)
- During the projection period, the banking as a service platform segment is expected to account for the largest proportion of global demand for banking-as-a-service (BaaS) platforms. The banking as a service APIs segment, on the other hand, is expected to grow at a healthy 17.1% CAGR through 2031.
- The integration of BaaS platform in small and mid-sized enterprises is expected to grow at a CAGR of 16.6% between 2021 and 2031, whereas large organisations now hold the majority of the market share.
- Fintech companies are likely to accelerate their usage of banking-as-a-service (BaaS) platforms. According to FMI, demand in this segment would grow at a CAGR of 18.2 percent from 2021 to 2031.
- In 2021, Europe is predicted to lead the market, followed by North America. Between 2021 and 2031, South Asia and the Pacific is expected to be the fastest growing region.
Competitive Environment :
- Sopra Banking Software
- Solarisbank AG
- Clearbank Ltd.