What will drive South Korea’s digital banking to rise 9.7% through 2030?

Usage climbed 25% over the past year as faster tools gained traction.

South Korea’s digital banking sector is estimated to bag $2.41b in 2025, driven by rising demand for mobile services and continued investment in technology, according to Market Research Future.

From 2025 to 2030, the sector will likely register a compound annual growth rate of 9.7%.

Growth is being driven by wider use of mobile banking, stronger internet access, and increasing consumer preference for convenience. 

Mobile banking has become the largest segment, as more users shift away from traditional banking channels towards digital platforms.

South Korea’s high level of connectivity is a key factor. Around 98% of the population had internet access as of November 2025, whilst smartphone penetration exceeded 90%. 

This has enabled users to access banking services at any time, contributing to a change in how financial services are used.

Consumer demand for faster and more efficient services is also supporting market expansion. 

Features such as instant transfers, online loan applications, and round-the-clock account access have led to a 25% increase in digital banking usage over the past year.

Technological developments, including artificial intelligence and machine learning, are also reshaping the sector. 

These tools are being used to improve customer service, streamline operations, and support tailored services. Adoption of artificial intelligence in banking is expected to rise by 30% in the coming years.

The regulatory environment is also supporting growth. Authorities, including the Financial Services Commission, have introduced measures to encourage innovation and the development of digital-only banks, whilst maintaining consumer protection standards. 

The number of licensed digital banks has increased in recent years, contributing to a more competitive market.

Competition between traditional banks and fintech firms is driving further innovation. Partnerships between these players have expanded, leading to new products such as mobile payment services and digital financial management tools.