According to analysts, we may expect a continued strong growth for the open banking market. Thus, the global open banking market size will reach $135.17b by 2030, meaning a CAGR of 26.9%. Drivers of the expansion are the rise of open APIs, an increased adoption of innovative applications and services and the favorable government legislation. Finally, it is the growing request of clients which pushes bank-sided technological advancements.
Heavy investments in open banking companies from the major payment providers and an ongoing consolidation among the new regional players are shaping the market and indicate future growth. The most prominent example is certainly Visa acquiring the Open Banking player Tink in June 2021 for $2.15b who on his side just consolidated the market e.g. with the takeover of Fintech Systems in Germany.
But also British Open Banking fintech Yapily showed regional ambitions with their recently acquisition of the German finAPI in April 2022. These consolidations will foster the standardization and homogenization trends of open banking in Europe with adequate platform technologies and prepare the ground for future growth.
(Data source: Allied Market Research: Open Banking Market Report, 2022)
