FinTech innovations will impact every sector
of the global economy.
Financial technology (fintech) refers to the utilization of information technology (IT) to improve and automate financial services in business operations.
In 2020, the total investment in fintech was over $105 billion, with two-thirds of financial transactions made online. The money transfer and payments subsector boasted an adoption rate of 75%, compared to the traditional method of borrowing, at 27%. Globally, digital payments accounted for 92% of the market, followed by financial software segmenting 45% of the market share.
BCM forecasts the global fintech market to reach $190 billion by 2026, at a CAGR of 13.7% during the forecast period of 2021-2026. We believe that the fintech sector commands a tremendous potential for high growth due to the increasing demand for innovative technologies to keep up with the rapidly changing landscape of business transactions.