Allied Market Research recently published a report, titled, “Financial Guarantee Market By Product Type (Bank Guarantees, Documentary Letter of Credit, Standby Letter of Credit (SBLC), Receivables Financing, and Others), Enterprise Size (Small Enterprises, Medium-sized Enterprises, and Large Enterprises), and End User (Exporters and Importers): Global Opportunity Analysis and Industry Forecast, 2021–2030“. As per the report, the global financial guarantee industry was accounted for $28.70 billion in 2020, and is expected to reach $71.93 billion by 2030, growing at a CAGR of 9.6% from 2021 to 2030.
Download Sample Report @ https://www.alliedmarketresearch.com/request-sample/14884
Drivers, Restraints, and Opportunities
Rise in the financial risk involved in business transactions, quick processing of documents by banks, and rise in adoption of financial guarantees by SMEs drive the growth of the global financial guarantee market. However, strict assessment by the banks before offering a financial guarantee and collateral demands hinder the market growth. On the contrary, increase in import and export activities in developing countries and surge in digitalization of banking procedures are expected to open new opportunities for the market players in the future.
Guarantees are often charged at a low rate by banks, which is advantageous to small businesses. As a result, it enables SMEs to utilize available extra funds which further fuels the market growth. In addition, the necessity for fewer documentation for a financial guarantee has made it convenient for SMEs to get loans.
Additionally, the fees charged by banks is very nominal due to which it is a cost-effective solution for the SMEs. Furthermore, financial guarantees assist SMEs in maintaining a positive credit score in order to get larger loans in the future.
Hence, the adoption of financial guarantee provides several benefits to SMEs. Thus, the increasing adoption of financial guarantees by SMEs is propelling the financial guarantee market growth.
Interested to Procure : https://www.alliedmarketresearch.com/purchase-enquiry/14884
The Documentary Letter of Credit Segment Held the Largest Share
By product type, the documentary letter of credit segment held the largest share in 2020, accounting for nearly three-fifths of the global financial guarantee market, due to differing laws of countries and the difficulty of knowing each party personally. However, the receivables financing segment is expected to register the highest CAGR of 15.0% during the forecast period, as it allows to accept large, bulk one-time orders and allow traders to earn greater profits.
The Large Enterprises Segment Dominated the Market
By enterprise size, the large enterprises segment held the lion’s share in 2020, contributing to nearly three-fifths of the global financial guarantee market, owing to rise in preference of a financial guarantee among major organizations to make immediate payments across countries. However, the small-sized enterprises segment is estimated to manifest the highest CAGR of 13.7% from 2021 to 2030. Due to lack of credit worthiness and limited access to huge funds, small banks cannot take loans from banks but a financial guarantee allows them to acquire products and pay later.
Asia-Pacific, followed by Europe and North America, held the Largest Share
By region, the global financial guarantee market of Asia-Pacific, followed by Europe and North America, dominated in 2020, holding nearly two-fifths of the market, due to rise in demand for digitalized financial guarantee using new technologies such as machine learning automation, optical character recognition, and distributed ledger. Moreover, the market across North America is projected to portray the CAGR of 5.5% during the forecast period.
Request Customization : https://www.alliedmarketresearch.com/request-for-customization/14884
Key Benefits for Stakeholders
- The study provides in-depth analysis of the global financial guarantee market share along with current & future trends to illustrate the imminent investment pockets.
- Information about key drivers, restrains, & opportunities and their impact analysis on the global financial guarantee market size are provided in the report.
- Porter’s five forces analysis illustrates the potency of buyers and suppliers operating in the financial guarantee market forecast.
- An extensive analysis of the key segments of the industry helps to understand the global financial guarantee market trends.
- The quantitative analysis of the global financial guarantee market share from 2021 to 2030 is provided to determine the market potential.
Financial Guarantee Market Report Highlights
| Aspects | Details |
|---|---|
| By Product Type | Bank GuaranteesDocumentary Letter of CreditStandby Letter of Credit (SBLC)Receivables FinancingOthers |
| By Enterprise Size | Small EnterprisesMedium-sized EnterprisesLarge Enterprises |
| By End User | ExportersImporters |
| By Region | North America (U.S, Canada, Mexico)Europe (Germany, France, UK, Italy, Spain, Russia, Rest of Europe)Asia-Pacific (China, Japan, India, Australia, South Korea, Rest of Asia-Pacific)LAMEA (Brazil, Turkey, Saudi Arabia, South Africa, Rest of LAMEA) |
| Key Market Players | Asian Development Bank, BNP Paribas, Barclays, Bank of Montreal, Citibank, HSBC, ICBC, National Bank of Canada, SINOSURE, Scotia Bank |
Related Links:
Financial Consulting Software Market: https://www.alliedmarketresearch.com/financial-consulting-software-market-A17212
Robotic Process Automation (RPA) in Financial Services Market: https://www.alliedmarketresearch.com/robotic-process-automation-rpa-in-financial-services-market-A06933
Financial Guarantee Market: https://www.alliedmarketresearch.com/financial-guarantee-market-A14515
Canada Financial Guarantee Market: https://www.alliedmarketresearch.com/canada-financial-guarantee-market-A12500
Debt Financing Market: https://www.alliedmarketresearch.com/debt-financing-market-A06292
Financial Leasing Services Market: https://www.alliedmarketresearch.com/financial-leasing-services-market-A06707
Blockchain Finance Market: https://www.alliedmarketresearch.com/blockchain-finance-market-A11750
Household Finances Market: https://www.alliedmarketresearch.com/household-finances-market-A12005
Infrastructure Finance Market: https://www.alliedmarketresearch.com/infrastructure-finance-market-A11990
Financial Fraud Detection Software Market: https://www.alliedmarketresearch.com/financial-fraud-detection-software-market-A12743
Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of “Market Research Reports” and “Business Intelligence Solutions.” AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.
We are in professional corporate relations with various companies and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Allied Market Research CEO Pawan Kumar is instrumental in inspiring and encouraging everyone associated with the company to maintain high quality of data and help clients in every way possible to achieve success. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry.
Contact Us:
David Correa
5933 NE Win Sivers Drive
#205, Portland, OR 97220
United States
USA/Canada (Toll Free):
+1-800-792-5285, +1-503-894-6022
UK: +44-845-528-1300
Hong Kong: +852-301-84916
India (Pune): +91-20-66346060
Fax: +1(855)550-5975
help@alliedmarketresearch.com
Web: www.alliedmarketresearch.com
Allied Market Research Blog: https://blog.alliedmarketresearch.com