PUBLISHER: Global Market Insights Inc. | PRODUCT CODE: 1755388
PUBLISHER: Global Market Insights Inc. | PRODUCT CODE: 1755388
Open Banking Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2025 - 2034
The Global Open Banking Market was valued at USD 28.2 billion in 2024 and is estimated to grow at a CAGR of 19.2% to reach USD 149.4 billion by 2034, fueled by the rising demand for secure and efficient financial services, technological innovations, and supportive regulatory environments. Open banking enhances transparency and fosters competition within the financial sector, ultimately improving the customer experience and creating new business opportunities. This trend has become even more prominent as businesses and consumers seek personalized, data-driven financial services.
Open banking enables banks and fintech companies to leverage customer data to enhance product offerings, assess risks, and improve service quality. Technological advancements, especially in API integration, are driving this growth by facilitating seamless data sharing between financial institutions and third-party providers. As APIs continue to evolve with enhanced security and standardization, they are playing a pivotal role in streamlining collaboration and fostering innovation. This progress enables banks and fintech companies to deliver faster, more customer-centric financial services. By integrating APIs, these entities can offer seamless, real-time data sharing, enhancing the overall customer experience. This improved efficiency drives the growth of the open banking market, helping businesses stay competitive and meet increasing consumer demands for convenience, personalization, and quick access to financial products.
| Market Scope | |
|---|---|
| Start Year | 2024 |
| Forecast Year | 2025-2034 |
| Start Value | $28.2 Billion |
| Forecast Value | $149.4 Billion |
| CAGR | 19.2% |
The banking and capital markets segment dominated the open banking market in 2024, holding a 30% share. This sector is at the heart of API-based financial ecosystems, with traditional banks increasingly required by regulatory frameworks like the EU's PSD2 and the UK's Open Banking directive to provide third-party access to customer data. This regulatory push has accelerated the widespread implementation of open banking, enabling faster payments, real-time credit assessments, and more efficient financial transactions in retail and commercial banking.
The solutions segment, which accounted for 55% share in 2024, continues to be a dominant force in the growth of open banking. This segment's expansion is driven by the increasing demand for technologies such as APIs, identity verification tools, payment gateways, and analytics platforms-all essential components for the effective implementation of open banking solutions. As financial institutions and fintechs increasingly rely on these technologies to offer innovative services, the solutions segment is expected to experience continued growth.
Germany Open Banking Market was valued at USD 1.8 billion in 2024, driven by the robust regulatory framework established by PSD2 and the growing influence of fintech companies, Germany has seen substantial progress in adopting open banking. With the rise of digital banking and the increasing focus on consumer-oriented financial services, Germany's market is poised for further growth. Innovations such as real-time payments and enhanced data security are gaining traction, setting the stage for Germany to become a leader in the European open banking ecosystem.
Key players in the Open Banking Industry include Plaid, Yodlee (Envestnet), Tink, TrueLayer, Token.io, Trustly, Yapily, and MX, among others. To solidify their position in the open banking space, companies are adopting strategies such as investing heavily in API integration and data analytics. These companies enhance their platforms to facilitate seamless collaboration between financial institutions and third-party providers. Strategic partnerships between fintech firms and traditional banks are becoming increasingly common, as both parties benefit from accessing a broader customer base and data-driven insights. Furthermore, these players are focused on meeting evolving regulatory standards while enhancing security features to foster trust and protect customer information.
Table of Contents
Chapter 1 Methodology & Scope
- 1.1 Research design
- 1.1.1 Research approach
- 1.1.2 Data collection methods
- 1.2 Base estimates and calculations
- 1.2.1 Base year calculation
- 1.2.2 Key trends for market estimates
- 1.3 Forecast model
- 1.4 Primary research & validation
- 1.4.1 Primary sources
- 1.4.2 Data mining sources
- 1.5 Market definitions
Chapter 2 Executive Summary
- 2.1 Industry 3600 synopsis, 2021 - 2034
Chapter 3 Industry Insights
- 3.1 Industry ecosystem analysis
- 3.2 Supplier landscape
- 3.2.1 Banks and financial institutions
- 3.2.2 Fintech companies/Third party providers
- 3.2.3 API platform providers/Technology enablers
- 3.2.4 Regulatory bodies and standard organizations
- 3.2.5 End users (consumers and businesses)
- 3.3 Profit margin analysis
- 3.4 Technology & innovation landscape
- 3.5 Patent analysis
- 3.6 Open banking statistics
- 3.6.1 Adoption usage
- 3.6.2 By region
- 3.6.3 Market penetration
- 3.6.3.1 By financial institutions
- 3.6.3.2 By consumers
- 3.6.4 Implementation
- 3.7 Key news & initiatives
- 3.8 Regulatory landscape
- 3.9 Impact forces
- 3.9.1 Growth drivers
- 3.9.1.1 Increased adoption of digital banking
- 3.9.1.2 Growing demand for data-driven insights
- 3.9.1.3 Technological advances in API integration
- 3.9.1.4 Rise of mobile and digital payments
- 3.9.1.5 Improved financial inclusion
- 3.9.2 Industry pitfalls & challenges
- 3.9.2.1 Data privacy and security risks
- 3.9.2.2 Limited awareness and understanding
- 3.9.1 Growth drivers
- 3.10 Growth potential analysis
- 3.11 Porter's analysis
- 3.12 PESTEL analysis
Chapter 4 Competitive Landscape, 2024
- 4.1 Introduction
- 4.2 Company market share analysis
- 4.3 Competitive positioning matrix
- 4.4 Strategic outlook matrix
Chapter 5 Market Estimates & Forecast, By Financial Services, 2021 - 2034 (USD Million)
- 5.1 Key trends
- 5.2 Banking & capital markets
- 5.2.1 Retail banking
- 5.2.2 Corporate banking
- 5.2.3 Investment banking
- 5.3 Payments
- 5.3.1 P2P payments
- 5.3.2 B2B payments
- 5.3.3 Bill payments
- 5.3.4 Cross-border payments
- 5.4 Digital lending
- 5.4.1 Personal loans
- 5.4.2 SME lending
- 5.4.3 BNPL (Buy now pay later)
- 5.5 Insurance
- 5.6 Wealth management
- 5.7 Personal finance management (PFM)
Chapter 6 Market Estimates & Forecast, By Component, 2021 - 2034 (USD Million)
- 6.1 Key trends
- 6.2 Solutions
- 6.2.1 API management platforms
- 6.2.2 Banking-as-a-service (BaaS) platforms
- 6.2.3 Data aggregation tools
- 6.2.4 Customer experience platforms
- 6.3 Services
- 6.3.1 Integration & implementation
- 6.3.2 Consulting
- 6.3.3 Support & maintenance
- 6.3.4 Managed services
Chapter 7 Market Estimates & Forecast, By Deployment mode, 2021 - 2034 (USD Million)
- 7.1 Key trends
- 7.2 On-premises
- 7.3 Cloud-based
Chapter 8 Market Estimates & Forecast, By Technology, 2021 - 2034 (USD Million)
- 8.1 Key trends
- 8.2 API (Application programming interface)
- 8.3 AI & ML
- 8.4 Blockchain
- 8.5 Big data & analytics
- 8.6 Biometrics & authentication
- 8.7 IoT & edge
Chapter 9 Market Estimates & Forecast, By End Use, 2021 - 2034 (USD Million)
- 9.1 Key trends
- 9.2 Banks
- 9.3 Third-party providers (TPPs)
- 9.4 Fintech companies
- 9.5 Payment service providers (PSPs)
- 9.6 Insurance companies
- 9.7 Asset management firms
- 9.8 SMEs and enterprises
- 9.9 Individual consumers
Chapter 10 Market Estimates & Forecast, By Business Model, 2021 - 2034 ($USD Million)
- 10.1 Key trends
- 10.2 API monetization
- 10.3 Distributive banking
- 10.4 Banking-as-a-service (BaaS)
- 10.5 White-label banking
Chapter 11 Market Estimates & Forecast, By Region, 2021 - 2034 (USD Million)
- 11.1 Key trends
- 11.2 North America
- 11.2.1 U.S.
- 11.2.2 Canada
- 11.3 Europe
- 11.3.1 UK
- 11.3.2 Germany
- 11.3.3 France
- 11.3.4 Italy
- 11.3.5 Spain
- 11.3.6 Russia
- 11.3.7 Nordics
- 11.4 Asia Pacific
- 11.4.1 China
- 11.4.2 India
- 11.4.3 Japan
- 11.4.4 South Korea
- 11.4.5 ANZ
- 11.4.6 Southeast Asia
- 11.5 Latin America
- 11.5.1 Brazil
- 11.5.2 Mexico
- 11.5.3 Argentina
- 11.6 MEA
- 11.6.1 UAE
- 11.6.2 Saudi Arabia
- 11.6.3 South Africa
Chapter 12 Company Profiles
- 12.1 Belvo
- 12.2 Brankas
- 12.3 Bud
- 12.4 Envestnet (Yodlee)
- 12.5 Finicity (Mastercard)
- 12.6 Galileo Financial Technologies
- 12.7 GoCardless
- 12.8 Jack Henry & Associates
- 12.9 Mambu
- 12.10 MX
- 12.11 OpenPayd
- 12.12 Plaid
- 12.13 Railsr
- 12.14 Solarisbank
- 12.15 Tink
- 12.16 Token.io
- 12.17 Treezor
- 12.18 TrueLayer
- 12.19 Trustly
- 12.20 Yapily
