Foreign Exchange Services Market By Type (Professionally Managed Accounts Service, Currency Exchange & Remittance Service, Trading Programs & Advisory Service and Other), By End-User (Individuals, Retailers, Corporate Institutes, Government and Others), and By Region - Market Trends, Analysis, and Forecast till 2034

Foreign Exchange Services Market was valued at USD 9.1 Billion in 2024, and is projected to reach USD 14.69 Billion by 2034, growing at a CAGR of 8.4%

Foreign exchange market is described as an OTC (Over the counter) market as there is no physical place where the participants meet to execute their deals. It is more an informal arrangement among the banks and brokers operating in a financing centre purchasing and selling currencies, connected to each other by telecommunications like telex, telephone and a satellite communication network, SWIFT. The term foreign exchange market is used to refer to the wholesale a segment of the market, where the dealings take place among the banks.

The foreign exchange services market size is growing substantially, and is expected to expand as overseas travelers are on the rise and businesses are expanding across the globe. Forex services or foreign exchange services offer exchange of a foreign currency into regional or global currencies. Forex services also include transfer of currency to another currency through digital platforms. It also allows travelers to transfer small amount of money. In addition, it also allows multi-million dollar transfers handled by states, companies, and financial institutions.

Increase in demand

Increase in demand from individuals overseas for easy use of respective country's foreign currency and surge in international transactions are some of the factors that drive the market growth. However, higher competition from banks and FinTech firms and stringent regulations on cross-border transactions are some of the factors expected to hinder the market growth.

Key Growth drivers

• Innovation and security
• Reinventing the customer experience and omnichannel systems
• Personalisation of services
• Supporting customers beyond banking services
• Supporting the energy transition of our clients

Fluctuation in Currency

Currency fluctuations are a natural outcome of floating exchange rates, which is the norm for most major economies. Numerous factors influence exchange rates, including a country's economic performance, the outlook for inflation, interest rate differentials, capital flows and so on. A currency's exchange rate is typically determined by the strength or weakness of the underlying economy. As such, a currency's value can fluctuate from one moment to the next.

Foreign Exchange Services Market is segmented based on Type, End-User and Region.

On the basis of Type, the Global Foreign Exchange Services Market is segmented into Professionally Managed Accounts Service, Currency Exchange & Remittance Service, Trading Programs & Advisory Service and Other. Based on End-User, the target market is segmented into Individuals, Retailers, Corporate Institutes, Government and Others.

Regional Insights:

On region the Foreign Exchange Services Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The Europe regional market is projected to emerge as the fastest-growing regional market. The Japanese yen (JPY), despite volumes having recently fallen back from their 2013-14 Bank of Japan (BoJ) quantitative-easing (QE) peak, continues to dominate overall regional trade, with volumes rising 172 percent since 2004.

Foreign Exchange Services Market Report scope

Segments Covered in the Report:

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2024 to 2034. For the purpose of this study, has segmented the Foreign Exchange Services Market report based on Type, End User, and region.

Foreign Exchange Services Market, By Region:

• North America
  • Middle East & Africa
    • • GCC
      • Israel
      • South Africa
      • Rest of Middle East & Africa
  • Latin America
    • • Brazil
      • Mexico
      • Rest of Latin America
  • Asia Pacific
    • • China
      • India
      • Japan
      • South Korea
      • Rest of Asia Pacific
  • Europe
    • • Germany
      • UK
      • France
      • Russia
      • Italy
      • Rest of Europe
  • • U.S.
    • Canada

The key players operating in the Foreign Exchange Services Market includes American Express Company, Western Union Holdings, Inc, Bank of America Corporation, Citibank, Wells Fargo, JPMorgan Chase & Co., BNP Paribas, Barclays, State Street Corporation, Royal Bank of Scotland

• American Express Company
• Royal Bank of Scotland
• State Street Corporation
• Barclays
• BNP Paribas
• JPMorgan Chase & Co.
• Wells Fargo
• Citibank
• Bank of America Corporation
• Western Union Holdings, Inc