Remittance Market, By Product Type (Inward remittance and Outward Remittance), By Channel (Banks, Money Transfer Operator and Others), By Application (Consumption, Saving, Investment, Business and Personal) and By Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) - Market Trends, Analysis, and Forecast till 2030

International money transfer is commonly referred as 'remittances’. As per the World Bank, global remittances reached an unprecedented value of $689 billion in 2018, an upward drift from $633 billion recorded in 2017. Some factors responsible for the growth in global remittances are: increasing migrating population to developed countries, pressure from the United Nations to lower transfer fees, bourgeoning FinTech and mobile payments technology, and increasing numbers of non-bank remittance vendors such as MoneyGram and Western Union. Resultantly, the remittance market size was estimated as $49.49 billion in 2019, with growing refugee population and rampant urbanization, the market is progressing at a CAGR of 7.6%, during the forecast period 2020-2027. The Remittance 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.

Growth in cross-border transactions and mobile-based payment channels

The market for cross-border person-to-person (P2P) remittances is massive. It experienced double-digit growth in 2018 as consumers migrated from one country to another in search of better economic opportunities, as well as to escape political and financial upheaval in their home countries.

In many cases, the migration pattern may involve only one member of a family leaving their country for a job on an oil rig in Kuwait, a construction job in the U.S. or as a live-in daycare provider in Singapore while the remaining members stay home. In cases such as these, as well as those who have permanently emigrated yet still want to support an extended family in their home country, remittances play a vital role in the transfer of wealth and represent an economic boon to the receiving country.

Opportunity

Developing solutions for untapped segments. The digital economy is expected to grow rapidly in the near future. In Southeast Asian countries, the Internet economy is expected to grow to $200 billion by 2025 from $50 billion in 2017, at a CAGR of 18.9%. The development of 5G and APIs enables businesses to maximize innovation and create new services for consumers. The rural market has a great potential for financial inclusion. Approximately 63% of the population in Southeast Asia lives in rural areas. All of these factors collectively demonstrate market potential for payments service providers. By collaborating with agent networks to offer financial solutions for the underserved, service providers can grow the payments ecosystem.

The Remittance Market is segmented based on Product Type, Channel, Application and Region.

On the basis of Product Type, the Remittance Market is segmented into Inward remittance and Outward Remittance. Based on Channel, the target market is segmented into Banks, Money Transfer Operator and Others. Based on Application, Market is segmented as Consumption, Saving, Investment, Business and Personal.

Regional Insights:

On region the Remittance Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. In 2019, North America was reckoned to be the leading region with an estimated market share of 19.50% of the global market. Increasing number of immigrants settling in the U.S. for several purposes such as education and employment are some pivotal factors supporting regional dominance.

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 2019 to 2029. For the purpose of this study, has segmented the Remittance Market report based on Product type, Channel, Application, and region.

Remittance Market, By Region:

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

Some players with substantial market share in the remittance market are WorldRemit Ltd., InstaReM, Ria Financial Outward Remittance, Azimo Ltd., TransferWise Ltd., WorldRemit Ltd., Banco Bradesco Sa, Euronet Worldwide, Inc., Societe Generale, Xoom Corporation and The Kroger Co., and SingX Pte Ltd.

• Bank of America*
  • Societe Generals
  • Scotia Bank
  • Wells Fargo
  • XOOM/ Paypal
  • Western Union Holdings Inc.
  • Euronet Worldwide
  • MoneyGram International, Inc.
  • JPMorgan Chase & Co.
  • Citigroup Inc.
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Overview
  • Business Strategies

 “*” marked represents similar segmentation in other categories in the respective section.