Over Two Thirds of Global Population to Own Digital Wallet by 2029
A new study from Juniper Research – experts in fintech and payments markets – forecasts a 15.3% growth in digital wallet adoption globally by 2029; up from 52.6% in 2024.
The research found that adoption will be driven by the increasing ease of acceptance, and the digital wallet’s ability to connect underserved communities to financial services.
Ease of Acceptance Key to Increased Adoption
The research found that not requiring hardware enables merchants to accept digital wallet payments more easily, compared to card payments. An emerging trend is mPOS, in which merchants accept payments through a mobile device, either via QR codes or the mobile device’s NFC capabilities.
The report predicts that Apple’s decision to unlock its devices’ NFC capabilities for third-party wallets will promote competition in the wallets’ space. It represents an opportunity for established wallets, such as Vipps in Norway, to attract customers who were previously restricted to Apple Pay.
Financial Inclusion Key to Wallet User Growth
The report predicts that, in emerging markets, wallets will increasingly offer microloans and basic insurance products. It recommends that wallets in developing markets begin development of these finance products immediately and must look to emulate the success of M-PESA has experienced in Kenya.
Say report author Michael Greenwood:
“These basic financial services allow wallet providers to diversify revenue streams. These providers must take advantage of mobile financial service licences, where available, as they are often associated with a lower regulatory burden than full banking licences.
“This lower burden gives wallets more room to innovate; allowing them to make financial products that can target the opportunities specific to their markets.”
An extract from the new report, Global Digital Wallets Market: 2024-2029, is now available as a free download.
