APAC private banking to grow 9.43% CAGR

The market is forecast to expand from $44.3b in 2025 to $76.05b by 2031.

The Asia-Pacific private banking market is expected to register a compound annual growth rate of 9.43% between 2026 and 2031. 

Growth is being driven by rising numbers of high-net-worth individuals, large inter-generational wealth transfers, and greater use of private banking by sovereign wealth-linked capital, according to Mordor Intelligence.

The sector will likely reach $48.47b in 2026, up from $44.3b in 2025, and is projected to grow to $76.05b by 2031.

Regulatory alignment across Singapore and Hong Kong, alongside expanding private wealth corridors in India and Southeast Asia, has reduced cross-border friction and widened investment opportunities. 

At the same time, banks are stepping up investment in technology, particularly AI-based portfolio tools and ESG analytics, whilst higher anti-money laundering and common reporting standard compliance costs are forcing changes to operating models.

Demographics remain a key driver. India’s millionaire population is growing at an annual rate of 12.2%, whilst China’s large wealth base continues to underpin regional scale. 

New wealth from technology, manufacturing, and services is increasing demand for discretionary mandates and supporting fee growth. 

An estimated $2.4t is also expected to be transferred across generations in the region this decade, reshaping demand for private banking services. 

Client portfolios are shifting towards impact investing, venture capital, and liquid alternatives, prompting portfolio redesigns. 

Policy changes, including adjustments to Australia’s superannuation system and higher NISA allowances in Japan, are expanding the pool of investable assets that require professional advice. 

Singapore recorded a 40% increase in single-family offices in 2024, highlighting a move towards more direct control of wealth. Private banks with expertise in governance, philanthropy, and digital assets are well-positioned to secure new mandates.