Globally, the peer-to-peer (P2P) payments market is set to reach $4.93 billion in 2026, according to a recent report. The research also cites how the Russia-Ukraine war has dashed any hopes for economic recovery worldwide, at least for now. The conflict has led to sanctions on various countries, leading to supply chain disruptions and an increase in commodity prices.
P2P payments market growth can be attributed to the growing adoption of online banking, mobile banking, as well as e-commerce. Both advanced and convenient features offered by online and mobile banking platforms are key drivers within the P2P payments market. With continued technological advancement spearheaded by various players in the P2P payments market, there is no doubt that their use will only continue to grow in popularity.
The growing demand for faster payments by consumers cannot be ignored. This has led to an expansion of use cases such as bill pay, account-to-account transfer, as well as the movement of funds person-to-person. We have written about the importance of faster payments and what consumers are looking for in a P2P solution here.
“Consumers have adopted P2P into their daily payments routines, especially as a quick method to pay friends and family easily in place of cash,” said Jordan Hirschfield, Director of Prepaid Advisory Service at Mercator Advisory Group. “The continued efforts to reduce and mitigate fraud and theft through P2P will enable next generation growth. This includes allowing P2P to function as a trusted alternative at point-of-sale to benefit both consumers and merchants.”