Surge in technological developments, increase in competition, and new trade agreements drive the global trade finance market. However, rise in trade wars and lack of focus on small- & medium-sized enterprises hinder the market growth. On the other hand, advancements in the field of global trade finances create new opportunities in the market.
According
to the report, the global trade finance market was
valued at $39.71 billion in 2018, and
is estimated to grow $56.06 billion by 2026,
witnessing a CAGR of 3.79% from 2019 to 2026.
The export and agency finance segment to maintain its
highest share by 2026-
Based
on product type, the export and agency finance segment held nearly four-fifths
of the total share of the global trade finance market in 2018, and is expected
to maintain its highest share throughout the forecast period. This is due to
its highly structured financing solutions, improvement in exporters risk
capacity, and ability of domestic companies to export goods and services across
the world. On the other hand, the supply chain finance segment is expected to
grow at the highest CAGR of 3.81% from 2019 to 2026, owing to the product
permits that enable businesses to widen payment timelines for large
corporations and small & medium sized enterprises.
Read Full News: https://www.alliedmarketresearch.com/trade-finance-market
The importers segment to contribute its dominant
position during the forecast period-
Based
on end user, the importers segment contributed to the highest market share in
the global trade finance market, accounting for more than two-fifths of the
total market share in 2018, and is estimated to retain its dominant position
during the forecast period. This is due to challenges overcame by them through
maintenance of working capital despite delays and complications during trading
goods overseas. However, the traders' segment is expected to grow the largest
CAGR of 3.92% from 2019 to 2026. This is due to traders being largely dealing
under short term periods, holding assets to capitalize on short-term trends in
the market.
LAMEA to maintain its dominant share by 2026, North America to
follow-
Based
on region, LAMEA accounted for the largest market share, contributing to
more than two-fifths of the global trade finance market in 2018, and is
estimated to maintain its dominant share throughout the forecast period. This
is due to high oil production, large-scale exports, and better services from
agency finances. North
America is expected to hold the second-highest market share
during the forecast period. However, Europe is expected to grow at
the highest CAGR of 3.95% from 2019 to 2026. This is attributed to the
involvement of export credit agencies (ECA) that carry out international trade,
improve public policy from government agencies, and promote trade across the
globe.
Leading market players
- Asian Development
Bank (ADB)
- Bank of America
- BNP Paribas
- Citigroup Inc.
- Euler Hermes
- HSBC Holdings plc
- JPMorgan Chase
& Co
- Mitsubishi UFJ
Financial Group, Inc.
- Royal Bank of Scotland
- Standard Chartered Bank
No comments:
Post a Comment