PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1739127
PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1739127
Global Embedded Banking Market to Reach US$62.0 Billion by 2030
The global market for Embedded Banking estimated at US$19.7 Billion in the year 2024, is expected to reach US$62.0 Billion by 2030, growing at a CAGR of 21.0% over the analysis period 2024-2030. Payment Processing, one of the segments analyzed in the report, is expected to record a 21.3% CAGR and reach US$23.5 Billion by the end of the analysis period. Growth in the Lending segment is estimated at 18.1% CAGR over the analysis period.
The U.S. Market is Estimated at US$5.4 Billion While China is Forecast to Grow at 28.2% CAGR
The Embedded Banking market in the U.S. is estimated at US$5.4 Billion in the year 2024. China, the world's second largest economy, is forecast to reach a projected market size of US$14.7 Billion by the year 2030 trailing a CAGR of 28.2% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 16.8% and 18.8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 17.6% CAGR.
Global Embedded Banking Market - Key Trends & Drivers Summarized
How Is Embedded Banking Transforming the Financial Experience Across Digital Platforms?
Embedded banking refers to the seamless integration of core banking services-such as account creation, payments, fund transfers, and balance management-into non-financial platforms. It allows digital brands, marketplaces, SaaS providers, and consumer apps to offer financial functionality directly within their user environments, bypassing the need to redirect customers to traditional banks. By leveraging APIs, Banking-as-a-Service (BaaS) infrastructure, and fintech-bank partnerships, embedded banking creates frictionless financial experiences tailored to specific digital ecosystems.
This model is redefining customer interaction by allowing businesses to embed checking accounts, debit cards, and direct deposit options into apps for ride-hailing, e-commerce, creator platforms, and gig work. Companies like Shopify, Uber, and Toast are embedding banking rails into their ecosystems to retain customer funds, issue branded financial products, and drive monetization through interchange fees and float. BaaS providers such as Solarisbank, Synapse, Unit, and Treasury Prime are powering this shift by offering regulatory, ledger, and compliance layers as plug-and-play solutions for brands without banking licenses.
Which Verticals and Business Models Are Accelerating Embedded Banking Adoption?
The most significant adoption of embedded banking is occurring in e-commerce, logistics, gig economy, and platform-based service industries. Merchants on platforms like Amazon or Etsy can now open business checking accounts, manage earnings, and access working capital loans-all without leaving the ecosystem. In the gig economy, embedded accounts allow drivers and freelancers to receive instant payments, manage income, and even access tax tools or insurance products directly from their work apps.
Fintech-forward digital brands are embedding banking to boost customer loyalty and engagement through tailored financial offerings. This includes creator platforms offering tip management, e-learning sites providing student wallets, and B2B SaaS companies offering accounts payable and receivable capabilities through integrated banking modules. Growth is especially strong in the U.S., U.K., India, and Europe, where open banking regulations and API ecosystems are mature. Developing markets are also beginning to see adoption through mobile money operators embedding lightweight banking experiences into retail and utility platforms.
The Growth in the Embedded Banking Market Is Driven by Several Factors…
The growth in the embedded banking market is driven by technological maturation in API-based financial infrastructure, a shift toward platform-centric commerce models, and rising demand for contextual financial services. On the technology side, improvements in real-time ledger systems, KYC automation, fraud prevention APIs, and modular compliance stacks are enabling scalable, secure deployment of banking features inside non-bank platforms. Additionally, programmable card issuance and digital wallet APIs are allowing companies to launch branded financial services with minimal overhead.
From the end-use perspective, platforms seeking to control more of the user journey-from onboarding to payment-are embedding banking to boost retention, enable upselling, and gather richer transaction data. The rise of vertical SaaS and marketplace platforms is a major accelerant, as embedded banking allows them to evolve into full-stack business ecosystems. Regulatory trends such as PSD2 in Europe and open banking frameworks globally are also simplifying access to banking data and services via APIs. Together, these drivers are positioning embedded banking as a transformative force across sectors, enabling financial services to become invisible, personalized, and embedded at the point of need.
SCOPE OF STUDY:
The report analyzes the Embedded Banking market in terms of units by the following Segments, and Geographic Regions/Countries:
Segments:
Type (Payment Processing, Lending, Contactless Payment, Wealth Management, Other Types); Vertical (Retail & E-Commerce, Transportation & Logistics, Healthcare, Media & Entertainment, Other Verticals)
Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.
Select Competitors (Total 44 Featured) -
TARIFF IMPACT FACTOR
Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.
We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.
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APRIL 2025: NEGOTIATION PHASE
Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.
JULY 2025 FINAL TARIFF RESET
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Reciprocal and Bilateral Trade & Tariff Impact Analyses:
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Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.
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