Future of Fintech | Brawny Business Backbone

ARTICLES | Aug 28, 2023
Future of Fintech | Brawny Business Backbone

The Asia Pacific, especially China, India, and Indonesia, will become the world's largest fintech market by 2030, generating nearly US$4 trillion in total revenue with an average annual growth rate of 27%


[#FinTech] Financial services is a crucial industry for the global economy. It can generate $12.5 trillion in global revenue per year and net profits of at least US$ 2.3 trillion per year (18.4% of revenue), in line with the growth direction of the financial technology or fintech market (Financial Technology: fintech). Although the cryptocurrency market is highly volatile, financial technology, the engine behind it, is growing steadily. There are currently more than 26,000 fintech companies around the world. It is estimated that by 2025, the size of the fintech market will reach $124 billion with a compound annual growth rate of 23.84%, reflecting demand from all sectors for faster and more convenient possession of innovation and financial services, generating US$1.5 trillion annually by 2030 as an unbanked service provider with new forms of payment, an important mechanism to stimulate economic growth. Many analysts see digital currencies and tokens as just the beginning of this new economy.


A key driver for growth is the shift to B2B2X, or serving both corporate clients that serve retail consumers (Business-Business-Customer: B2B2C) and corporate customers that provide other business services (Business-Business-Business: B2B2B). Blending finance and the digital world through various means, such as partnering with financial startups to bring technologies such as artificial intelligence, quantum computing, blockchain, the Internet, will enhance the capabilities of large enterprises, small and medium-sized enterprises (SMEs), and other startups. The financial services system will be driven seamlessly, reducing risks, increasing job opportunities, and expanding business. By incorporating transactional capabilities into the workflow of all organizations, both within and outside the financial sector, people's will be able to conduct financial transactions at all levels smoothly.


Many countries around the world are actively developing their infrastructure, especially in the financial and banking sectors, because it is one of the factors that determine the future of the economy and tourism. It is expected that the Asia-Pacific region especially China, India, and Indonesia, will become the world's largest fintech market by 2030, generating nearly US$4 trillion in total revenue. Micro, small, and medium-sized businesses (MSMEs) will supply over 80% of the continent's total jobs. Over 34% of growing startups in Africa are in fintech. The financial services market in Africa is expected to generate more than US$230 billion by 2025. Nigeria, expected to become the world's second most populous country by 2100, has emerged as another key region full of opportunities for fintech.



Implications for the future:

- The readiness of the financial structure has become a new comparison of the country and the economic center.

- Growing a single business, small business and more medium-sized businesses by unlocking the potential of financial services.

- There is an influx of high potential workers from many industries into the financial sector and the digital economy, encouraging the integration of financial services into the operations of different industries.




-The Future of Investing 2022 https://www.cbinsights.com/reports/CB-Insights_The-Future-Investing.pdf?%E2%80%8B

-Global Fintech 2023: Reimagining the Future of Finance https://www.bcg.com/publications/2023/future-of-fintech-and-banking

-Reimagining the Future of Finance https://web-assets.bcg.com/72/c2/8401c106410bbddd12125bf528d0/global-fintech-report-2023-reimagining-the-future-of-finance-g1.pdf

-Mercury rising: The Future of Fintech https://www.cib.barclays/our-insights/the-future-of-fintech.html

-The future of Fintech in 2023 https://timesofindia.indiatimes.com/blogs/voices/the-future-of-fintech-in-2023/

-Technologies that Shaping the Future of FinTech Industry https://radixweb.com/blog/technologies-shaping-the-future-of-fintech



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