Asia Pacific P2P market to reach $214bn by 2030
The Asia Pacific peer-to-peer lending market is set to grow rapidly to be worth $214bn (£170.4bn) by 2030, according to new research.
Analysts at Croatia-based P2P lending platform Robocash have predicted that the P2P market in Asia Pacific will increase at an average compound annual growth rate (CAGR) of 27.5 per cent over the next six years, to become one of the most substantial P2P markets in the world.
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This is largely due to recent regulatory measures in the region, which have helped to create a more favourable environment for investors.
“Individuals and businesses are increasingly adopting P2P lending and investing methods because of their convenience, ease of access and more favourable terms for both borrowers and investors,” said the Robocash analysts.
According to the analysts, North America currently has the largest share of the P2P market, with the EU and the UK in joint second place.
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However, they noted that demand for P2P investments in those regions has declined over the past year, partially due to the growth of alternative asset classes such as cryptocurrency investments.
Robocash believes that the Asia Pacific region is likely to remain one of the most attractive P2P markets globally. Since October 2022, the average monthly search volume according to Google ads has increased by 38 per cent, suggesting high interest in the asset class.
“In the absence of major destabilizing events, the P2P lending market in Asia-Pacific could grow to $214bn by 2030, and its share of the global market size could reach 37 per cent,” the analysts added.
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