Neobanking

Description

Global Neobanking Market to Reach US$2.1 Trillion by 2030

The global market for Neobanking estimated at US$172.9 Billion in the year 2024, is expected to reach US$2.1 Trillion by 2030, growing at a CAGR of 51.7% over the analysis period 2024-2030. Business Account, one of the segments analyzed in the report, is expected to record a 45.3% CAGR and reach US$1.0 Trillion by the end of the analysis period. Growth in the Savings Account segment is estimated at 60.3% CAGR over the analysis period.

The U.S. Market is Estimated at US$45.4 Billion While China is Forecast to Grow at 49.2% CAGR

The Neobanking market in the U.S. is estimated at US$45.4 Billion in the year 2024. China, the world's second largest economy, is forecast to reach a projected market size of US$309.0 Billion by the year 2030 trailing a CAGR of 49.2% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 46.1% and 45.1% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 35.9% CAGR.

Global Neobanking Market - Key Trends & Drivers Summarized

Why Is Neobanking Disrupting Traditional Banking? The Shift to Digital-Only Financial Services

The neobanking market has emerged as one of the fastest-growing sectors in financial services, driven by the digital transformation of banking and the increasing adoption of fintech solutions. Unlike traditional banks, neobanks operate entirely online without physical branches, offering streamlined services, lower fees, and highly personalized customer experiences. The rise of mobile-first consumers and demand for seamless, 24/7 banking solutions have accelerated neobank adoption, particularly among millennials and small businesses seeking cost-effective financial management. Regulatory support for open banking initiatives, particularly in Europe (PSD2) and other global markets, has further facilitated the growth of neobanks by allowing them to integrate with existing financial ecosystems. Additionally, neobanks leverage artificial intelligence (AI) and machine learning (ML) to offer predictive financial analytics, fraud detection, and automated savings tools, enhancing user engagement and financial literacy. As traditional banks struggle with legacy infrastructure and high operational costs, neobanks are capitalizing on agility and innovation to reshape the future of banking.

What Are the Key Innovations Driving Neobank Growth?

Neobanks have revolutionized banking by adopting cutting-edge technologies that enhance efficiency, security, and user experience. AI-powered chatbots, robo-advisors, and voice-activated banking assistants have transformed customer service, making financial interactions more intuitive. Blockchain technology is also being integrated into neobanking platforms to improve transparency and security in digital transactions. Another significant innovation is the rise of embedded finance, where neobanks integrate their services into third-party platforms, enabling seamless financial transactions in e-commerce, ride-hailing, and gig economy applications. Additionally, the adoption of biometric authentication and digital identity verification has strengthened security measures, reducing fraud risks. Many neobanks are also developing decentralized finance (DeFi) solutions, allowing users to access cryptocurrency services, peer-to-peer lending, and borderless financial transactions. These technological advancements are not only enhancing service efficiency but also expanding the scope of financial inclusion by reaching underbanked populations worldwide.

How Are Neobanks Expanding Beyond Traditional Banking Services?

Neobanks are diversifying their product offerings beyond standard banking services, venturing into wealth management, lending, and insurance. Many are introducing micro-loans, buy-now-pay-later (BNPL) solutions, and credit-building tools to cater to consumers with limited access to traditional credit. The rise of fractional investing and automated portfolio management has enabled neobanks to attract retail investors, offering commission-free trading and robo-advisory services. Additionally, neobanks are increasingly partnering with businesses to provide tailored financial solutions, such as expense management tools and digital payroll services for small and medium enterprises (SMEs). Subscription-based banking models are also gaining traction, where customers pay a flat monthly fee for premium financial services, including cashback rewards, international transactions, and enhanced savings options. By expanding their service ecosystem, neobanks are positioning themselves as comprehensive financial hubs rather than mere alternatives to traditional banks.

What Are the Key Growth Drivers for the Neobanking Market?

The growth in the neobanking market is driven by several factors, including increasing smartphone penetration, rising demand for cost-effective banking solutions, and regulatory advancements supporting digital finance. The global shift toward cashless economies has accelerated digital banking adoption, particularly in emerging markets where mobile banking provides financial access to unbanked populations. The rapid expansion of e-commerce and digital payment ecosystems has also fueled demand for integrated banking solutions. Additionally, the COVID-19 pandemic reinforced the need for contactless financial services, further propelling neobank adoption. Venture capital investments in fintech startups have also played a crucial role in funding neobank expansions and technological developments. Furthermore, the rise of Gen Z and millennial consumers, who prioritize convenience and digital-first experiences, continues to shape the evolution of neobanking. As traditional banks continue to digitize, competition between legacy institutions and neobanks is expected to intensify, driving further innovation and market growth in the digital banking space.

SCOPE OF STUDY:

The report analyzes the Neobanking market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:

Account Type (Business Account, Savings Account); Vertical (Enterprises Vertical, Personal Vertical, Other Verticals)

Geographic Regions/Countries:

World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; and Rest of Europe); Asia-Pacific; Rest of World.

Select Competitors (Total 43 Featured) -

Ally Bank
Aspiration
Bunq
Chime
Current
Dave
Judo Bank
K Bank
KakaoBank
Monzo
N26
Nubank
Oxygen
Revolut
Starling Bank
Tide
Tinkoff Bank
Up Bank
Varo Bank
WeBank

AI INTEGRATIONS

We're transforming market and competitive intelligence with validated expert content and AI tools.

Instead of following the general norm of querying LLMs and Industry-specific SLMs, we built repositories of content curated from domain experts worldwide including video transcripts, blogs, search engines research, and massive amounts of enterprise, product/service, and market data.

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 increasing the Cost of Goods Sold (COGS), reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

Product Code: MCP32311

I. METHODOLOGY

II. EXECUTIVE SUMMARY

1. MARKET OVERVIEW
- Influencer Market Insights
- Tariff Impact on Global Supply Chain Patterns
- Neobanking - Global Key Competitors Percentage Market Share in 2025 (E)
- Competitive Market Presence - Strong/Active/Niche/Trivial for Players Worldwide in 2025 (E)
2. FOCUS ON SELECT PLAYERS
3. MARKET TRENDS & DRIVERS
- Proliferation of Smartphone and Internet Penetration Spurs Growth of Neobanking Platforms
- Digital-First Consumer Preferences Strengthen the Business Case for Fully-Digital Banking Models
- Pandemic-Led Acceleration of Digital Financial Services Adoption Propels Demand for Neobanking Solutions
- Embedded Finance Integration Expands Addressable Market Opportunity for Neobanks
- AI-Driven Personalization and Financial Automation Generates Competitive Differentiation in Neobanking
- Growth of Gig Economy and Freelance Workforce Drives Demand for Flexible, Digital-Only Financial Services
- Rapid Growth of E-Commerce and D2C Ecosystems Spurs Need for Integrated Neobank Payment Solutions
- Open Banking Regulations Create New Avenues for Neobank Market Expansion
- Advances in Biometric and Behavioral Security Strengthen Trust and Drive Adoption of Digital Banking
- API-First Infrastructure Development Enables Scalable Innovation and Ecosystem Partnerships
- Rising Demand for ESG-Aligned Banking Solutions Creates Niche Growth Opportunities for Green Neobanks
- Regulatory Sandboxes and Fintech-Friendly Policies Accelerate Go-To-Market Speed for Neobanks
- Customer Aversion to Traditional Banking Fees Generates Momentum for No-Fee Digital Banking Models
- Expansion of Digital Identity Verification Solutions Drives Onboarding Efficiency and Market Reach
- Cloud-Native Core Banking Technologies Lower Entry Barriers and Sustain Growth of New Market Entrants
- Increasing Investor Appetite for Fintech Startups Fuels Capital Availability and Market Proliferation
- Financial Inclusion Imperatives in Emerging Economies Expand the Socioeconomic Impact of Neobanks
- Cross-Border Expansion Strategies Propel Global Footprint and Revenue Growth Potential
- Strategic Alliances with Retailers and Digital Platforms Generate Demand for Co-Branded Neobank Offerings
- Gamification of Banking Services Enhances Customer Engagement and Strengthens Retention Metrics
- Data-Driven Insights and Predictive Analytics Propel Development of Hyper-Personalized Financial Products
- Cybersecurity Threat Landscape Raises Compliance Barriers and Challenges Risk Management Practices
- Evolution of Digital Lending Ecosystem Unlocks New Revenue Streams for Neobanking Players
- Real-Time Payments Infrastructure Enhancements Bolster Use-Cases for Instant Neobank Transactions
- Shifts in Gen Z and Millennial Financial Behavior Patterns Drive Demand for Mobile-First Banking Solutions
4. GLOBAL MARKET PERSPECTIVE
- TABLE 1: World Neobanking Market Analysis of Annual Sales in US$ Million for Years 2015 through 2030
- TABLE 2: World Recent Past, Current & Future Analysis for Neobanking by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 3: World 6-Year Perspective for Neobanking by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets for Years 2025 & 2030
- TABLE 4: World Recent Past, Current & Future Analysis for Business Account by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 5: World 6-Year Perspective for Business Account by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World for Years 2025 & 2030
- TABLE 6: World Recent Past, Current & Future Analysis for Savings Account by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 7: World 6-Year Perspective for Savings Account by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World for Years 2025 & 2030
- TABLE 8: World Recent Past, Current & Future Analysis for Enterprises Vertical by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 9: World 6-Year Perspective for Enterprises Vertical by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World for Years 2025 & 2030
- TABLE 10: World Recent Past, Current & Future Analysis for Personal Vertical by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 11: World 6-Year Perspective for Personal Vertical by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World for Years 2025 & 2030
- TABLE 12: World Recent Past, Current & Future Analysis for Other Verticals by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 13: World 6-Year Perspective for Other Verticals by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific and Rest of World for Years 2025 & 2030

III. MARKET ANALYSIS

UNITED STATES
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in the United States for 2025 (E)
- TABLE 14: USA Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 15: USA 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 16: USA Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 17: USA 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
CANADA
- TABLE 18: Canada Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 19: Canada 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 20: Canada Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 21: Canada 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
JAPAN
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Japan for 2025 (E)
- TABLE 22: Japan Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 23: Japan 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 24: Japan Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 25: Japan 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
CHINA
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in China for 2025 (E)
- TABLE 26: China Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 27: China 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 28: China Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 29: China 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
EUROPE
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Europe for 2025 (E)
- TABLE 30: Europe Recent Past, Current & Future Analysis for Neobanking by Geographic Region - France, Germany, Italy, UK and Rest of Europe Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
- TABLE 31: Europe 6-Year Perspective for Neobanking by Geographic Region - Percentage Breakdown of Value Sales for France, Germany, Italy, UK and Rest of Europe Markets for Years 2025 & 2030
- TABLE 32: Europe Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 33: Europe 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 34: Europe Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 35: Europe 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
FRANCE
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in France for 2025 (E)
- TABLE 36: France Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 37: France 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 38: France Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 39: France 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
GERMANY
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Germany for 2025 (E)
- TABLE 40: Germany Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 41: Germany 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 42: Germany Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 43: Germany 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
ITALY
- TABLE 44: Italy Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 45: Italy 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 46: Italy Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 47: Italy 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
UNITED KINGDOM
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in the United Kingdom for 2025 (E)
- TABLE 48: UK Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 49: UK 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 50: UK Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 51: UK 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
REST OF EUROPE
- TABLE 52: Rest of Europe Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 53: Rest of Europe 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 54: Rest of Europe Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 55: Rest of Europe 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
ASIA-PACIFIC
- Neobanking Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Asia-Pacific for 2025 (E)
- TABLE 56: Asia-Pacific Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 57: Asia-Pacific 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 58: Asia-Pacific Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 59: Asia-Pacific 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030
REST OF WORLD
- TABLE 60: Rest of World Recent Past, Current & Future Analysis for Neobanking by Account Type - Business Account and Savings Account - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 61: Rest of World 6-Year Perspective for Neobanking by Account Type - Percentage Breakdown of Value Sales for Business Account and Savings Account for the Years 2025 & 2030
- TABLE 62: Rest of World Recent Past, Current & Future Analysis for Neobanking by Vertical - Enterprises Vertical, Personal Vertical and Other Verticals - Independent Analysis of Annual Sales in US$ Million for the Years 2024 through 2030 and % CAGR
- TABLE 63: Rest of World 6-Year Perspective for Neobanking by Vertical - Percentage Breakdown of Value Sales for Enterprises Vertical, Personal Vertical and Other Verticals for the Years 2025 & 2030