Market Research Future (MRFR) has published on the “Global Remittance Market”.
The remittance market is estimated to register a CAGR of 3.80% during the forecast period of 2023 to 2032.
MRFR recognizes the following companies as the key players in the global remittance market— Bank of America Corporation, ZEPZ, Citigroup, Inc., Ria Financial Services, Inc., OFX, Wells Fargo, Western Union Holdings, Inc., PayPal, MoneyGram International, Inc., and Wise US, Inc.
The global remittance market is accounted to register a CAGR of 3.80% during the forecast period and is estimated to reach USD 119.6 Billion by 2032.
The global market for remittances describes how people send money back to their home nations after working abroad. It is a large industry that supports economic growth and the movement of money. Remittances are essential for raising standard of living and promoting financial inclusion for families and communities around the world.
The global remittance market has been segmented based mode of transfer, type, channel and end use.
On the basis of mode of transfer, the market is segmented into digital and traditional (non-digital). Traditional (non-digital) segment dominated the global market in 2022. The traditional method of sending money includes, among other things, the use of checks and ATMs. The primary factor fueling the segment's growth is the consumer's impression of confidence and safety when sending money through an offline channel.
Based on type, the global remittance market has been segmented into inward remittance and outward remittance. Outward remittance segment dominated the global remittance market in 2022. An external remittance enables worldwide trade and lets businesses take advantage of chances they might not have had otherwise.
Based on channel, the global remittance market has been segmented into banks, money transfer operators, and online platforms (wallets). Money transfer operators segment dominated the global Remittance market in 2022. Using a bank has different costs depending on where consumers send money and the regulations that are relevant to that specific bank.
Based on end use, the global remittance market has been segmented into migrant labor workforce, personal, small businesses, and others. Personal segment dominated the global market in 2022. Personal remittances relate to all financial transactions between residents and non-residents, including both migrants and non-migrant residents.
The global Remittance market, based on region, has been divided into the North America, Europe, Asia-Pacific, and Rest of the World. North America consists of US and Canada. The Europe Remittance market comprises of Germany, France, the UK, Italy, Spain, and the rest of Europe. The Remittance market in Asia-Pacific has been segmented into China, India, Japan, Australia, South Korea, and the rest of Asia-Pacific. The Rest of the World Remittance market comprises of Middle East, Africa, and Latin America.
The North America Remittance Market dominated this market in 2022 (45.80%). Due to the presence of certain well-known rivals like Citigroup, Inc. and Bank of America Corporation, the market has a dominant position. Additionally, fintech firms in North American countries are actively creating collaborations with well-known players to benefit from their capabilities.
Moreover, in 2022, a sizable portion of the remittance market was accounted for by Europe. The acceptance of smartphone technology will be a key factor in how effectively the regional market adopts new technologies and the digital finance interface.
Additionally, from 2023 to 2032, the Asia Pacific Remittance Market is anticipated to experience rapid expansion. The main remittance recipients, such China, the Philippines, and India, are all located in the Asia Pacific region, which explains the growth. A number of significant businesses from across the world are also competing for the lucrative local market.
Furthermore, remittances from migrants living abroad are a substantial source of income for a significant portion of the Latin American economy. These remittances benefit the economy of the area by lowering poverty, promoting financial stability, and raising standards of living. For many households, especially in nations like Mexico, El Salvador, and Guatemala, remittance transfers are crucial.
Key Findings of the Study