Embedded Finance Market Size, Share, Opportunities, and Trends Report Segmented By Type, Business Model, End Users, and Geography – Forecasts from 2025 to 2030

Embedded Finance Market Size:

The embedded finance market is expected to grow at a compound annual growth rate (CAGR) of 36.41% from USD 146.171 billion in 2025 to USD 690.386 billion in 2030.

Embedded Finance Market Key Highlights:

Embedded Finance Market Overview:

The embedded finance market is revolutionizing financial services by integrating payments, lending, and insurance into non-financial platforms like e-commerce, retail, and tech ecosystems. Invisible finance and contextual finance deliver seamless, hyper-personalized solutions at the point of need, powered by API-first finance for efficient integration. Financial orchestration enables businesses to embed services, while platform banking allows companies to offer banking services without traditional infrastructure, enhancing customer experiences. Fintech infrastructure, leveraging cloud computing and artificial intelligence (AI), supports this growth, driving adoption across industries and transforming digital financial services.

The surge in digital payments fuels market expansion, with the European Central Bank reporting a 10.1% rise in non-cash transactions to 67 billion and a 6.9% increase in e-money transactions to 4.4 billion in H1 2023. E-commerce platforms integrating buy now, pay later (BNPL), digital wallets, and instant loans cater to consumer demand for convenience. For example, Finzly’s Account Galaxy (April 2024) empowers banks to enter embedded banking, overcoming technological barriers. Similarly, SAP Fioneer’s B2B embedded finance platform (March 2023) integrates financial services with enterprise systems, fostering innovation.

Open banking regulations, such as PSD2 and the proposed FIDA framework, enhance data sharing and financial inclusion, particularly in Europe. In Asia-Pacific, India’s 800 million internet users (Internet in India Report 2023) drive rapid adoption of embedded finance, fueled by mobile banking and UPI transactions. North America leads with its advanced fintech ecosystem, while Asia-Pacific grows due to digital transformation. AI-driven analytics and blockchain enhance fraud detection and secure transactions, but challenges like cybersecurity risks, data privacy, and regulatory compliance persist. Strategic partnerships between fintechs and non-financial brands, alongside cloud-based solutions, address these issues, reducing costs and improving scalability. The embedded finance market thrives on technological innovation, consumer convenience, and regulatory support, redefining how businesses and consumers engage with financial solutions in a dynamic digital landscape.

Embedded Finance Market Trends:

The embedded finance market is transforming financial services by integrating payments, lending, and insurance into non-financial platforms, prioritizing customer experience finance. Seamless checkout processes enhance user convenience, driving adoption across e-commerce and retail platforms. Businesses leverage embedded finance for new revenue streams, integrating digital payments, buy now, pay later (BNPL), and instant loans to boost profitability. Customer loyalty fintech strengthens retention through rewards programs and tailored financing options.

Hyper-personalization in finance, powered by AI and data analytics, delivers customized solutions to meet individual needs. Compliance-by-design ensures regulatory adherence with standards like PSD2, mitigating cybersecurity risks. North America leads with its advanced fintech ecosystem, while Asia-Pacific grows rapidly due to digital transformation. Innovations like cloud-based integrations and API-first finance enhance scalability, positioning the embedded finance market as a cornerstone of consumer-centric, scalable financial solutions in dynamic digital ecosystems.

Embedded Finance Market Growth Drivers:

• The growing digitalization of business is projected to propel the embedded finance market expansion.

One of the prime reasons supporting the market growth is the growing inclination of businesses towards digitalization and the rising popularity of embedded finance services in every sector. Consumers around the globe are switching toward e-commerce, which is expected to augment the market growth during the forecast period. Moreover, as per the US Census Bureau of the Department of Commerce data on e-commerce, retail sales revenue in the U.S. increased from USD 2,71,867 million in the first quarter of 2023 to USD 2,85,224 million in the fourth quarter of 2023. Additionally, in Q4 2023, e-commerce sales accounted for 15.6% of total sales.

Moreover, increasing digitalization has given acceptance to various services like consumer lending and UPI payments, and MasterCard payment acceptance has also seen a massive rise in the business sectors. For instance, in January 2024, Cybrid, a provider of embedded finance API solutions, expanded its platform to include B2B payment capabilities. Moreover, in May 2022, Synctera, a leading FinTech banking provider, partnered with Mastercard to integrate its open banking platform, provided by Mastercard's subsidiary Finicity, to offer account verification solutions for Synctera-powered FinTechs.

• The increasing demand for embedded insurance is anticipated to fuel the embedded finance market expansion.

The growing trend of banking goods & services at the point of sale and the growing demand from insurance consumers for solutions beyond traditional insurance bundling are expected to drive the demand for embedded insurance. Additionally, embedded insurance integrates the relevant risk with the consumer's purchase owing to the point of sale. Such insurance is poised to show positive growth in major sectors such as automotive and retail.

According to Accenture’s “Global Insurance Consumer Study – 2023” report, the percentage share of consumers opting to buy insurance from car dealers increased from 32% in 2018 to 42% in 2023. The same study also highlighted that 75% of consumers are interested in a complete car package, inclusive of insurance.

Moreover, embedded car insurance provides the opportunity of creating alliances with non-financial service partners, which is further expected to improve their demand in various other sectors such as travel & entertainment. Booming consumer buying habits and insurer data capabilities are the primary market forces driving embedded insurance distribution.

Embedded insurance holds huge potential in the coming years, and to optimize their growing consumer demand in major sectors, various companies embedded insurance services are undertaking strategic collaborations and new launches, which are expected to provide new growth prospects. For instance, in December 2023, Qover announced its partnership with luxury electric vehicle brand ZEEKR, in which the former would provide its embedded insurance solutions, inclusive of two types of motor coverage, i.e., “Motor Own Damage (MOD)”, and “Motor Third Party Liability (MTPL)”. The insurance services were launched in the Netherlands. 

Embedded Finance Market Geographical Outlook:

The embedded finance market is experiencing rapid global expansion, segmented into North America, South America, Europe, the Middle East and Africa (MEA), and Asia-Pacific. Embedded finance, which integrates financial services such as digital wallets, Buy Now, Pay Later (BNPL), instant loans, and payment solutions into non-financial platforms, is transforming industries like e-commerce, retail, logistics, and healthcare by enhancing user experience, financial inclusion, and transaction efficiency.

Asia-Pacific Embedded Finance Market:

Asia-Pacific is the fastest-growing region, driven by rapid digitalization, smartphone penetration, and a robust tech ecosystem.

India, a key market, boasts over 800 million active internet users, as reported by the Internet in India Report 2023 (IAMAI, 2023). The country’s embedded finance sector is projected to grow at a CAGR of 45%, fueled by the e-commerce boom and innovative financial solutions (IBEF, 2023). Unified Payments Interface (UPI) transactions in India surged from 92 crore in 2017-18 to 8,375 crore in 2022-23, reflecting a CAGR of 147% in volume (Press Information Bureau, 2023). This widespread adoption of UPI payments enables seamless digital transactions on platforms like Flipkart, Amazon, and local retailers, acting as a major catalyst for embedded finance growth.

Strategic partnerships and collaborations in Asia-Pacific drive fintech innovation. In 2022, SBM Bank India partnered with Open Financial Technologies to launch Zwitch, Asia’s first end-to-end embedded finance platform, offering No-Code, Low-Code, and API-based solutions for fintech and non-fintech businesses (SBM Bank India, 2022). In 2023, MyShubhLife collaborated with Payworld, leveraging its NBFC Ekagrata to provide retail merchants with working capital credit, enhancing financial accessibility for small businesses (MyShubhLife press release, 2023). China, Singapore, and Japan also contribute through digital payment adoption and government-backed fintech initiatives, such as China’s Digital Yuan trials, further boosting market growth.

North America Embedded Finance Market:

North America, led by the United States and Canada, holds a significant share due to its advanced technological infrastructure and high consumer demand for seamless financial services. Platforms like Shopify and Walmart integrate BNPL solutions and digital wallets, enhancing customer convenience. Regulatory support for open banking and data security strengthens market adoption. Europe, particularly the UK, Germany, and Nordic countries, is a key market driven by open banking regulations and GDPR compliance, promoting secure embedded finance solutions. South America, with Brazil at the forefront, and MEA, led by the UAE and South Africa, are emerging markets, supported by digital transformation and financial inclusion initiatives.

Challenges such as data privacy concerns, cybersecurity risks, and regulatory complexities persist, but advancements in artificial intelligence (AI), machine learning, and secure APIs are mitigating these issues. Cloud-based platforms enhance scalability, while blockchain technology ensures transaction security. The embedded finance market thrives on digital payments, fintech collaborations, e-commerce growth, and regional innovation, with Asia-Pacific leading due to its vibrant tech ecosystem and consumer-driven markets, ensuring a transformative future for financial services.

Embedded Finance Market Key Developments:

• February 2024- Alloy launched Alloy for Embedded Finance, a product designed to help sponsor banks, BaaS providers, and fintech partners manage identity risk and comply with regulatory requirements while maintaining user experiences for fintechs.

List of Top Embedded Finance Companies:

• Stripe, Inc.
• FIS (PAYRIX) 
• Cybrid Technology Inc.
• Walnut Insurance Inc
• Lendflow

Embedded Finance Market Scope:

Report Metric	Details
Embedded Finance Market Size in 2025	USD 146.171 billion
Embedded Finance Market Size in 2030	USD 690.386 billion
Growth Rate	CAGR of 36.41%
Study Period	2020 to 2030
Historical Data	2020 to 2023
Base Year	2024
Forecast Period	2025 – 2030
Forecast Unit (Value)	USD Billion
Segmentation	Type Business Model End-Users Geography
Geographical Segmentation	North America, South America, Europe, Middle East and Africa, Asia Pacific
List of Major Companies in Embedded Finance Market	Stripe, Inc. FIS (PAYRIX) Cybrid Technology Inc. Walnut Insurance Inc Lendflow
Customization Scope	Free report customization with purchase

 

The embedded finance market is analyzed into the following segments:

• By Type
  • Embedded Payment
  • Embedded Insurance
  • Embedded Investment
  • Embedded Lending
  • Embedded Banking 
• By Business Model
  • B2B
  • B2C
  • B2B2B
  • B2B2C
• By End-Users
  • Retail
  • Healthcare
  • Logistics
  • Manufacturing
  • Travel & Entertainment
  • Others
• By Geography
  • North America
    • United States
    • Canada              
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • United Kingdom
    • Germany
    • France
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Israel
    • Others
  • Asia Pacific
    • Japan
    • China
    • India
    • South Korea
    • Indonesia
    • Thailand
    • Others

Our Best-Performing Industry Reports:

• Finance Cloud Market
• AI Finance Market
• Cloud ERP Market

---

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key benefits for the stakeholders

2. RESEARCH METHODOLOGY

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. Analyst View

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. EMBEDDED FINANCE MARKET BY TYPE 

5.1. Introduction

5.2. Embedded Payment

5.3. Embedded Insurance

5.4. Embedded Investment

5.5. Embedded Lending

5.6. Embedded Banking

6. EMBEDDED FINANCE MARKET BY BUSINESS MODEL

6.1. Introduction

6.2. B2B

6.3. B2C

6.4. B2B2B

6.5. B2B2C

7. EMBEDDED FINANCE MARKET BY END USERS 

7.1. Introduction

7.2. Retail

7.3. Healthcare

7.4. Logistics

7.5. Manufacturing

7.6. Travel & Entertainment

7.7. Others

8. EMBEDDED FINANCE MARKET BY GEOGRAPHY

8.1. Introduction

8.2. North America

8.2.1. By Type 

8.2.2. By Business Model

8.2.3. By End Users

8.2.4. By Country

8.2.4.1. United States

8.2.4.2. Canada

8.2.4.3. Mexico

8.3. South America

8.3.1. By Type 

8.3.2. By Business Model

8.3.3. By End Users

8.3.4. By Country

8.3.4.1. Brazil

8.3.4.2. Argentina

8.3.4.3. Others

8.4. Europe

8.4.1. By Type 

8.4.2. By Business Model

8.4.3. By End Users

8.4.4. By Country

8.4.4.1. United Kingdom

8.4.4.2. Germany

8.4.4.3. France

8.4.4.4. Spain

8.4.4.5. Others

8.5. Middle East and Africa

8.5.1. By Type 

8.5.2. By Business Model

8.5.3. By End Users

8.5.4. By Country

8.5.4.1. Saudi Arabia

8.5.4.2. UAE

8.5.4.3. Israel

8.5.4.4. Others

8.6. Asia Pacific

8.6.1. By Type 

8.6.2. By Business Model

8.6.3. By End Users

8.6.4. By Country

8.6.4.1. Japan

8.6.4.2. China

8.6.4.3. India

8.6.4.4. South Korea

8.6.4.5. Indonesia

8.6.4.6. Thailand

8.6.4.7. Others

9. COMPETITIVE ENVIRONMENT AND ANALYSIS

9.1. Major Players and Strategy Analysis

9.2. Market Share Analysis

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Competitive Dashboard

10. COMPANY PROFILES

10.1. Stripe, Inc.

10.2. FIS (PAYRIX)

10.3. Cybrid Technology Inc.

10.4. Walnut Insurance Inc

10.5. Lendflow

10.6. Finastra

10.7. Zopa Bank Limited

10.8. Fortis Payment Systems, LLC

10.9. Transcard Payments

10.10. Fluenccy Pty Limited

10.11. Qover

List of Tables

Table 1: Research Assumptions

Table 2: Embedded Finance Market, Key Findings

Table 3: Global Embedded Finance Market, By Type, USD Billion, 2020 to 2030

Table 4: Global Embedded Finance Market, By Business Model, USD Billion, 2020 to 2030

Table 5: Global Embedded Finance Market, By End Users, USD Billion, 2020 to 2030

Table 6: Global Embedded Finance Market, By Geography, USD Billion, 2020 to 2030

Table 7: North America Embedded Finance Market, By Type, USD Billion, 2020 to 2030

Table 8: North America Embedded Finance Market, By Business Model, USD Billion, 2020 to 2030

Table 9: North America Embedded Finance Market, By End Users, USD Billion, 2020 to 2030

Table 10: North America Embedded Finance Market, By Country, USD Billion, 2020 to 2030

Table 11: South America Embedded Finance Market, By Type, USD Billion, 2020 to 2030

Table 12: South America Embedded Finance Market, By Business Model, USD Billion, 2020 to 2030

Table 13: South America Embedded Finance Market, By End Users, USD Billion, 2020 to 2030

Table 14: South America Embedded Finance Market, By Country, USD Billion, 2020 to 2030

Table 15: Europe Embedded Finance Market, By Type, USD Billion, 2020 to 2030

Table 16: Europe Embedded Finance Market, By Business Model, USD Billion, 2020 to 2030

Table 17: Europe Embedded Finance Market, By End Users, USD Billion, 2020 to 2030

Table 18: Europe Embedded Finance Market, By Country, USD Billion, 2020 to 2030

Table 19: Middle East and Africa Embedded Finance Market, By Type, USD Billion, 2020 to 2030

Table 20: Middle East and Africa Embedded Finance Market, By Business Model, USD Billion, 2020 to 2030

Table 21: Middle East and Africa Embedded Finance Market, By End Users, USD Billion, 2020 to 2030

Table 22: Middle East and Africa Embedded Finance Market, By Country, USD Billion, 2020 to 2030

Table 23: Asia Pacific Embedded Finance Market, By Type, USD Billion, 2020 to 2030

Table 24: Asia Pacific Embedded Finance Market, By Business Model, USD Billion, 2020 to 2030

Table 25: Asia Pacific Embedded Finance Market, By End Users, USD Billion, 2020 to 2030

Table 26: Asia Pacific Embedded Finance Market, By Country, USD Billion, 2020 to 2030

Table 27: Embedded Finance Market, Strategy Analysis of Key Players

Table 28: Embedded Finance Market, Mergers, Acquisitions, Agreements, and Collaborations

Table 29: Stripe, Inc., Products and Services

Table 30: FIS (PAYRIX), Products and Services

Table 31: Cybrid Technology Inc., Products and Services

Table 32: Walnut Insurance Inc., Products and Services

Table 33: Lendflow, Products and Services

Table 34: Finastra, Products and Services

Table 35: Zopa Bank Limited, Products and Services

Table 36: Fortis Payment Systems, LLC, Products and Services

Table 37: Transcard Payments, Products and Services

Table 38: Fluenccy Pty Limited, Products and Services

Table 39: Qover, Products and Services

List of Figures

Figure 1: Global Embedded Finance Market Size, USD Billion, 2020 to 2030

Figure 2: Global Embedded Finance Market Segmentation

Figure 3: Market Drivers Impact

Figure 4: Porter’s Five Forces Analysis: Bargaining Power of Suppliers

Figure 5: Porter’s Five Forces Analysis: Bargaining Power of Buyers

Figure 6: Porter’s Five Forces Analysis: Threat of New Entrants

Figure 7: Porter’s Five Forces Analysis: Threat of Substitutes

Figure 8: Porter’s Five Forces Analysis: Competitive Rivalry in the Industry

Figure 9: Global Embedded Finance Market, Industry Value Chain Analysis

Figure 10: Global Embedded Finance Market Share (%), By Type, 2025 and 2030

Figure 11: Global Embedded Finance Market Attractiveness by Type, 2030

Figure 12: Global Embedded Finance Market, By Type, Embedded Payment, USD Billion, 2020 to 2030

Figure 13: Global Embedded Finance Market, By Type, Embedded Insurance, USD Billion, 2020 to 2030

Figure 14: Global Embedded Finance Market, By Type, Embedded Investment, USD Billion, 2020 to 2030

Figure 15: Global Embedded Finance Market, By Type, Embedded Lending, USD Billion, 2020 to 2030

Figure 16: Global Embedded Finance Market, By Type, Embedded Banking, USD Billion, 2020 to 2030

Figure 17: Global Embedded Finance Market Share (%), By Business Model, 2025 and 2030

Figure 18: Global Embedded Finance Market Attractiveness by Business Model, 2030

Figure 19: Global Embedded Finance Market, By Business Model, B2B, USD Billion, 2020 to 2030

Figure 20: Global Embedded Finance Market, By Business Model, B2C, USD Billion, 2020 to 2030

Figure 21: Global Embedded Finance Market, By Business Model, B2B2B, USD Billion, 2020 to 2030

Figure 22: Global Embedded Finance Market, By Business Model, B2B2C, USD Billion, 2020 to 2030

Figure 23: Global Embedded Finance Market Share (%), By End Users, 2025 and 2030

Figure 24: Global Embedded Finance Market Attractiveness by End Users, 2030

Figure 25: Global Embedded Finance Market, By End Users, Retail, USD Billion, 2020 to 2030

Figure 26: Global Embedded Finance Market, By End Users, Healthcare, USD Billion, 2020 to 2030

Figure 27: Global Embedded Finance Market, By End Users, Logistics, USD Billion, 2020 to 2030

Figure 28: Global Embedded Finance Market, By End Users, Manufacturing, USD Billion, 2020 to 2030

Figure 29: Global Embedded Finance Market, By End Users, Travel & Entertainment, USD Billion, 2020 to 2030

Figure 30: Global Embedded Finance Market, By End Users, Others, USD Billion, 2020 to 2030

Figure 31: Global Embedded Finance Market Share (%), By Geography, 2025 and 2030

Figure 32: Global Embedded Finance Market Attractiveness by Geography, 2030

Figure 33: North America Embedded Finance Market, USD Billion, 2020 to 2030

Figure 34: North America Embedded Finance Market Share (%), By Country, 2025 and 2030

Figure 35: North America Embedded Finance Market Attractiveness, By Country, 2030

Figure 36: United States Embedded Finance Market, USD Billion, 2020 to 2030

Figure 37: Canada Embedded Finance Market, USD Billion, 2020 to 2030

Figure 38: Mexico Embedded Finance Market, USD Billion, 2020 to 2030

Figure 39: South America Embedded Finance Market, USD Billion, 2020 to 2030

Figure 40: South America Embedded Finance Market Share (%), By Country, 2025 and 2030

Figure 41: South America Embedded Finance Market Attractiveness, By Country, 2030

Figure 42: Brazil Embedded Finance Market, USD Billion, 2020 to 2030

Figure 43: Argentina Embedded Finance Market, USD Billion, 2020 to 2030

Figure 44: South America (Others) Embedded Finance Market, USD Billion, 2020 to 2030

Figure 45: Europe Embedded Finance Market, USD Billion, 2020 to 2030

Figure 46: Europe Embedded Finance Market Share (%), By Country, 2025 and 2030

Figure 47: Europe Embedded Finance Market Attractiveness, By Country, 2030

Figure 48: United Kingdom Embedded Finance Market, USD Billion, 2020 to 2030

Figure 49: Germany Embedded Finance Market, USD Billion, 2020 to 2030

Figure 50: France Embedded Finance Market, USD Billion, 2020 to 2030

Figure 51: Spain Embedded Finance Market, USD Billion, 2020 to 2030

Figure 52: Europe (Others) Embedded Finance Market, USD Billion, 2020 to 2030

Figure 53: Middle East and Africa Embedded Finance Market, USD Billion, 2020 to 2030

Figure 54: Middle East and Africa Embedded Finance Market Share (%), By Country, 2025 and 2030

Figure 55: Middle East and Africa Embedded Finance Market Attractiveness, By Country, 2030

Figure 56: Saudi Arabia Embedded Finance Market, USD Billion, 2020 to 2030

Figure 57: UAE Embedded Finance Market, USD Billion, 2020 to 2030

Figure 58: Israel Embedded Finance Market, USD Billion, 2020 to 2030

Figure 59: Middle East and Africa (Others) Embedded Finance Market, USD Billion, 2020 to 2030

Figure 60: Asia Pacific Embedded Finance Market, USD Billion, 2020 to 2030

Figure 61: Asia Pacific Embedded Finance Market Share (%), By Country, 2025 and 2030

Figure 62: Asia Pacific Embedded Finance Market Attractiveness, By Country, 2030

Figure 63: Japan Embedded Finance Market, USD Billion, 2020 to 2030

Figure 64: China Embedded Finance Market, USD Billion, 2020 to 2030

Figure 65: India Embedded Finance Market, USD Billion, 2020 to 2030

Figure 66: South Korea Embedded Finance Market, USD Billion, 2020 to 2030

Figure 67: Indonesia Embedded Finance Market, USD Billion, 2020 to 2030

Figure 68: Thailand Embedded Finance Market, USD Billion, 2020 to 2030

Figure 69: Asia Pacific (Others) Embedded Finance Market, USD Billion, 2020 to 2030

Figure 70: Global Embedded Finance Market Share Analysis (2024)

Figure 71: Stripe, Inc., Key Developments

Figure 72: FIS (PAYRIX), Key Developments

Figure 73: Cybrid Technology Inc., Key Developments

Figure 74: Walnut Insurance Inc., Key Developments

Figure 75: Lendflow, Key Developments

Figure 76: Finastra, Key Developments

Figure 77: Zopa Bank Limited, Key Developments

Figure 78: Fortis Payment Systems, LLC, Key Developments

Figure 79: Transcard Payments, Key Developments

Figure 80: Fluenccy Pty Limited, Key Developments

Figure 81: Qover, Key Developments

Stripe, Inc.

FIS (PAYRIX) 

Cybrid Technology Inc.

Walnut Insurance Inc

Lendflow

Finastra

Zopa Bank Limited

Fortis Payment Systems, LLC

Transcard Payments

Fluenccy Pty Limited

Qover