According to EY’s Global Fintech Adoption Index 2019, “96% of the 27,000 consumers surveyed (across 27 global markets) reported they were at least aware of a FinTech transfer or payments service — and 75% had used one.”
The survey also identified growth in the SME market across the key categories of banking and payments, financial management, financing, and insurance.
One of the places where consumer use of fintech services is rising substantially is Singapore. The Adoption Index showed that fintech adoption rate among Singapore consumers has almost tripled to 67 percent in 2019 from just 23 percent in 2017. It still lags between China and India, which are the global leaders in fintech adoption. Both countries recorded an 87 percent consumer fintech adoption, and were followed closely by Russia and South Africa (both at 82 percent).
Retail News Asia reports, “Singapore has enjoyed significantly increased rates of consumer fintech adoption and we expect even higher rates in the future, due to the supportive regulatory environment.” Although it has a relatively small business-to-consumer market, it is a hotbed of innovation and is a popular launchpad for a growing number of fintech startups.
The EY report credited fintech’s phenomenal rise to the increasing consumer and SME awareness and engagement with fintech products and services and pointed out that when it first published the report in 2015, the average global adoption rate was around 16%, whereas now it stands at 64%.
Significantly, the report highlighted the fact that consolidated platforms have an edge, with 60 percent of consumers preferring to access services through a single platform, and that consumers are increasingly willing to consider using a non-financial company that offers financial services.