The supply chain finance market is witnessing strong expansion, projected to grow from $6.23 billion in 2023 to $6.85 billion in 2024, with a CAGR of 9.9%. Key growth factors include globalization and working capital optimization. The market is expected to reach $9.68 billion by 2028, achieving a CAGR of 9.0%, bolstered by advancements in data analytics and strategic partnerships.
Major Driver In The Supply Chain Finance Market
The supply chain finance market is set for growth due to increased investments in small and medium-sized enterprises (SMEs). This financial approach allows SMEs to access larger credit volumes based on the strength and volume of their trade transactions. By providing credits at significantly lower interest rates, supply chain finance helps SMEs navigate working capital challenges, enhancing their overall financial health. For instance, the European Investment Bank (EIB) partnered with Intesa Sanpaolo in June 2021, allocating a $19.39 billion fund to support small and medium-sized Italian businesses, benefiting over 50,000 SMEs, 150 large corporates, and mid-caps over three years. Consequently, the rise in SME investments for supply chain finance is a key driver for the growth of the supply chain finance market, with market sizes for 2023, 2024, and 2028 delineating its trajectory.
Request A Free Sample Of The Global Supply Chain Finance Market Report
Supply Chain Finance Market Competitive Landscape
JPMorgan Chase & Co, Allianz Trade, Alibaba, Bank of America Corporation, Citigroup Inc., HSBC Holdings Plc., Mitsubishi UFJ Financial Group Inc., BNP Paribas, Oracle Corporation, SAP SE, Deutsche Bank, Royal Bank of Scotland Plc., DBS Bank, Standard Chartered Plc., Asian Development Bank, Finastra, Euler Hermes, Greensill Capital, C2FO, Tradeshift, Taulia, Demica, Vayana Network, Incomlend, PrimeRevenue
Key Supply Chain Finance Market Trend
Technological innovation is a key trend gaining popularity in the supply chain finance market. Major companies in the supply chain finance sector are focused on innovating their products to strengthen and sustain their position in the market. For instance, in March 2022, IBSFINtech, an India-based Treasury Tech company providing end-to-end digitization and automation solutions, launched VNDZY (Vendor Management Made Easy), which is an AI-based SaaS platform. This platform offers a connected ecosystem for corporations, suppliers, and financial institutions and addresses all supply chain ecosystem concerns and provides a mutually advantageous platform for all parties. Additionally, the technology also helps suppliers by shortening the time it takes to process payments, which helps enhance financial discipline.
Get The Full Global Supply Chain Finance Market Report
Supply Chain Finance Market Segmentation
The supply chain finance market covered in this report is segmented –
1) By Offering: Export And Import Bills, Letter of Credit, Performance Bonds, Shipping Guarantees, Other Offerings
2) By Provider: Banks, Trade Finance House, Other Providers
3) By Application: Domestic, International
4) By End User: Large Enterprises, Small and Medium-sized Enterprises
By Geography:The regions covered in the supply chain finance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
Asia-Pacific was the largest region in the global supply chain finance market in 2023.
The Supply Chain Finance Global Market Report 2024 furnishes information about the global supply chain finance market, encompassing details like market size, projections for growth, segmentation across various sectors and regions, and an overview of competitors, including their revenues, profiles, and market shares. Furthermore, the report pinpoints potential opportunities and strategic directions derived from market trends and the strategies adopted by key competitors. The report also offers an assessment of how the COVID-19 pandemic, the Russia-Ukraine conflict, and increasing inflation have affected both global and regional markets, furnishing valuable strategic insights for businesses.
