The total volume of international digital remittances will exceed two billion in 2027, up from just over 1.1 billion in 2022, according to a report from Juniper Research.
This prediction comes from its new report ‘Digital Money Transfer & Remittances: Key Trends, Competitor Leaderboards & Market Forecasts 2022-2027.’
Juniper Research believes the growth in international digital remittances will be caused by the rising speed and low cost of digital remittances versus traditional agent-based services. Its report also uncovered that costs are being driven down quickly due to a competitive environment, which is making differentiation difficult for vendors in the space.
The report highlights the world’s leading digital remittance providers by evaluating their offerings, and the key factors that have led to their respective success.
At the top of the list is Western Union. It is followed by Wise, Ria, MoneyGram and InstaReM.
Research co-author Damla Sat said, “Juniper Research has ranked Western Union as leading in the global digital remittances market, based on its highly successful transition into the digital arena, whilst maintaining strong partnerships.
“Vendors aiming to compete must continue to build out their partnership networks with local financial institutions and networks to increase currencies supported, as well as challenging very closely on price.”
Another finding of the report is that mobile remittances will account for over 73% of all digital remittances globally by 2027 – up from 67% in 2022. Mobile remittances are marked as key to future growth, with funding via digital wallets and integration within superapps becoming key differentiators.
Finally, the report recommends cross-border remittance providers to focus on offering a compelling user experience, by providing easy tracking of payments and convenient funding options.
Juniper Research indicated that partnerships with superapps is the best way to ensure success in markets where superapps dominate.
Another recent report from Juniper Research found that the value of transactions made over prepaid cards will exceed $4.1trn globally in 2026, up from $2.3trn in 2021.
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