The trade finance market share is expected to increase by USD 12.20 billion from 2021 to 2026, and the market’s growth momentum will accelerate at a CAGR of 4.38%.
This trade finance market research report provides valuable insights on the post COVID-19 impact on the market, which will help companies evaluate their business approaches. Furthermore, this report extensively covers trade finance market segmentation by trade finance instruments (traditional trade finance, supply chain finance, and structured trade finance) and geography (APAC, Europe, Middle East and Africa, North America, and South America). The trade finance market report also offers information on several market vendors, including Australia and New Zealand Banking Group Ltd., Banco Santander SA, Bank of America Corp., Barclays PLC, BNP Paribas SA, Citigroup Inc., Credit Agricole CIB, Deutsche Bank AG, The Goldman Sachs Group Inc., HSBC Holdings Plc, JPMorgan Chase and Co., Mitsubishi UFJ Financial Group Inc., Morgan Stanley, Societe Generale SA, Standard Chartered PLC, The Bank of New York Mellon Corp., Royal Bank of Scotland plc, UBS Group AG, UniCredit SpA, and Wells Fargo and Co. among others.
What will the Trade Finance Market Size be During the Forecast Period?

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Trade Finance Market: Key Drivers, Trends, and Challenges
Based on our research output, there has been a negative impact on the market growth during and post COVID-19 era. The growing number of exports is notably driving the trade finance market growth, although factors such as the impact due to trade war may impede the market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the trade finance industry. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.
Key Trade Finance Market Driver
One of the key factors driving growth in the trade finance market is the growing number of exports. The rapidly increasing globalization and the reduced strictness on trade barriers by the World Trade Organization (WTO) will lead to an increase in exports across the globe, which, in turn, will lead to the growth of trade finance during the forecast period. During the exports, when shipment left the domestic customs, it can take a significant amount of time in transit before reaching the customer. Trade finance aims to maintain a positive cash-flow cycle during product transit. These vendors also take care of the letter of credit, which is required when products are transported cross border to the buyers. This, in turn, helps in building up trust between the seller and the buyer and facilitates easy trade. Thus, with the growth in exports of products and services, the demand for trade finance will also increase during the forecast period.
Key Trade Finance Market Trend
The incorporation of technology with trade finance is a trade finance market trend that is expected to have a positive impact in the coming years. Technology is an important part of businesses across industries, such as banking, financial services, and insurance (BFSI). Technological innovations, the adoption of automation, and a certain level of standardization have been achieved in trade financing in the last few years. For instance, the bank payment obligation (BPO) is an irreversible undertaking that is given by one bank to pay another bank on the successful matching of a mutually agreed set of data within SWIFT's trade service utility. This reduces manual processes, works as a risk mitigation tool, and helps optimize the working capital of banks.
Key Trade Finance Market Challenge
The impact of trade wars will be a major challenge for the trade finance market during the forecast period. A trade war occurs when two countries act against each other by placing restrictions on the opposing country's imports or raising import tariffs. Trade wars can be a reaction to protectionism, which depends on government policies and actions to restrict international trade. A government of any country usually takes protectionist actions to protect their domestic businesses and jobs from foreign competition. This action can also be taken by governments to reduce or balance trade deficits, i.e., when the country's export value is less than its imports. Also, trade wars can occur if a country feels that its competitor nation is following unfair trading practices.
This trade finance market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.
Parent Market Analysis
Technavio categorizes the global trade finance market as a part of the global specialized consumer services market within the global diversified consumer services market. Our research report has extensively covered external factors influencing the parent market growth potential in the coming years, which will determine the levels of growth of the trade finance market during the forecast period.
Who are the Major Trade Finance Market Vendors?
The report analyzes the market’s competitive landscape and offers information on several market vendors, including:
- Australia and New Zealand Banking Group Ltd.
- Banco Santander SA
- Bank of America Corp.
- Barclays PLC
- BNP Paribas SA
- Citigroup Inc.
- Credit Agricole CIB
- Deutsche Bank AG
- The Goldman Sachs Group Inc.
- HSBC Holdings Plc
- JPMorgan Chase and Co.
- Mitsubishi UFJ Financial Group Inc.
- Morgan Stanley
- Societe Generale SA
- Standard Chartered PLC
- The Bank of New York Mellon Corp.
- Royal Bank of Scotland plc
- UBS Group AG
- UniCredit SpA
- Wells Fargo and Co.
This statistical study of the trade finance market encompasses successful business strategies deployed by the key vendors. The trade finance market is fragmented and the vendors are deploying growth strategies such as investing in advanced technologies and focusing on offering customized solutions to compete in the market.
Product Insights and News
- bankofamerica.com - The company offers trade finance services such as the Cashpro trade platform.
- bankofamerica.com - The consumer banking segment operates in Deposits and Consumer Lending activities.
To make the most of the opportunities and recover from post COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments.
The trade finance market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies.
Trade Finance Market Value Chain Analysis
Our report provides extensive information on the value chain analysis for the trade finance market, which vendors can leverage to gain a competitive advantage during the forecast period. The end-to-end understanding of the value chain is essential in profit margin optimization and evaluation of business strategies. The data available in our value chain analysis segment can help vendors drive costs and enhance customer services during the forecast period.
Which are the Key Regions for Trade Finance Market?

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56% of the market’s growth will originate from APAC during the forecast period. China, South Korea, and Japan are the key markets for trade finance in APAC. Market growth in this region will be faster than the growth of the market in other regions.
The growing support from governments to strengthen trade finance for increasing exports will facilitate the trade finance market growth in APAC over the forecast period. This market research report entails detailed information on the competitive intelligence, marketing gaps, and regional opportunities in store for vendors, which will assist in creating efficient business plans.
COVID Impact and Recovery Analysis
The outbreak of COVID-19 adversely impacted the growth of the market in focus in the region in March 2020. Countries such as India, China, and Bangladesh were severely affected by the pandemic in the region. The outbreak led to a decline in banking operations. However, the rise in the utilization of digital mediums for financial transactions and the initiation of vaccination drives by various countries in the region will enhance the regional business scenario, which, in turn, is expected to result in the growth of the trade finance market in the region during the forecast period.
What are the Revenue-generating Trade Finance Instruments Segments in the Trade Finance Market?

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The trade finance market share growth in the traditional trade finance segment will be significant during the forecast period. Traditional trade finance leads to an increase in the cost and complexity of operations for enterprises due to tightening compliance requirements and the introduction of capital rules, such as Basel III. This leads to an increase in margin pressure on enterprises. The vendors are doing so due to growing globalization, which is leading to intense competition and more businesses opting for open account trade. This encourages vendors to offer new trade routes to enterprises. Thus, it will impact the growth of traditional trade finance during the forecast period.
This report provides an accurate prediction of the contribution of all the segments to the growth of the trade finance market size and actionable market insights on post COVID-19 impact on each segment.
Trade Finance Market Scope
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Report Coverage
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Details
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Page number
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120
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Base year
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2021
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Forecast period
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2022-2026
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Growth momentum & CAGR
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Accelerate at a CAGR of 4.38%
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Market growth 2022-2026
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$ 12.20 billion
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Market structure
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Fragmented
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YoY growth (%)
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3.95
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Regional analysis
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APAC, Europe, Middle East and Africa, North America, and South America
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Performing market contribution
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APAC at 56%
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Key consumer countries
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US, China, Japan, South Korea, UK, and Germany
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Competitive landscape
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Leading companies, Competitive strategies, Consumer engagement scope
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Key companies profiled
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Australia and New Zealand Banking Group Ltd., Banco Santander SA, Bank of America Corp., Barclays PLC, BNP Paribas SA, Citigroup Inc., Credit Agricole CIB, Deutsche Bank AG, The Goldman Sachs Group Inc., HSBC Holdings Plc, JPMorgan Chase and Co., Mitsubishi UFJ Financial Group Inc., Morgan Stanley, Societe Generale SA, Standard Chartered PLC, The Bank of New York Mellon Corp., Royal Bank of Scotland plc, UBS Group AG, UniCredit SpA, and Wells Fargo and Co.
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Market dynamics
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Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
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Customization purview
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What are the Key Data Covered in this Trade Finance Market Report?
- CAGR of the market during the forecast period 2022-2026
- Detailed information on factors that will drive trade finance market growth during the next five years
- Precise estimation of the trade finance market size and its contribution to the parent market
- Accurate predictions on upcoming trends and changes in consumer behavior
- The growth of the trade finance industry across APAC, Europe, Middle East and Africa, North America, and South America
- A thorough analysis of the market’s competitive landscape and detailed information on vendors
- Comprehensive details of factors that will challenge the growth of trade finance market vendors
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