Embedded finance market to double in four years

The industry’s growth is seen to continue at least in the next four years, mainly due to the B2B market.

Juniper Research is forecasting revenue from the embedded finance market to reach $228.6b by 2028.

The embedded finance market is expected to earn $228.6b in revenue by 2028, according to a report by Juniper Research.

This is 148% higher or more than double the $92.2b in global value recorded in the current year.

“This increasing market maturity and consumer confidence, supported by regulatory initiatives and greater acceptance, particularly within B2B use cases,” Juniper said in its latest report “Embedded Finance: 3 Key Trends for 2024."

“For example, multi-rail payments are becoming more prevalent, with embedded finance players like Balance and Marqeta aggregating numerous Open Banking APIs to enable more seamless and cheaper payments across scenarios such as bulk disbursements or cross-border payments,” it added.

Embedded insurance is also showing wider adoption globally and is expected to grow by 125% or more than double from 2024-2028.

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Offerings are made available on more eCommerce platforms. APAC governments, like Singapore and Malaysia, are also promoting digital insurance for consumer and commercial use.

“The conveniences provided through embedded offerings will garner the segment significant growth across the region,” Juniper Research noted.