Allied Market Research
Loading...
Cart
0

Letter of Credit Confirmation Market Expected to Reach $4.99 Billion by 2027

 

Report Code : A06312

quote Large enterprises are expected to attain significant growth in the upcoming years, owing to several industries under this segment trading at a large scale and have been the major adopters of letter of credit services becoming major trend in the market. quote

Pramod Borasi
Research Analyst, BFSI at Allied Market Research

Get 20% Free Customization In This Report
Follow us on Social Media:       
 

According to a recent report published by Allied Market Research, titled, “Letter of Credit Confirmation Market by L/C Type and End User:  Opportunity Analysis and Industry Forecast, 2020-2027,” the global letter of credit confirmation market was valued at $4.30 billion in 2019, and is projected to reach $4.99 billion by 2027, growing at a CAGR of 3.18% from 2020 to 2027.

A letter of credit confirmation is a process of document verifications and validating proof of export against the letter of credit requirements, which is conducted by confirming banks. These banks add its confirmation to a credit upon the issuing bank’s request. In addition, if the buyer is unable to make payment on the purchase, the seller makes a demand on issuing bank for the payment. Furthermore, rise in demand for customized trade finance solutions globally and regulatory support in growth of strict regulations for secured letter of credit confirmation services are some of the major letter of credit confirmation market trends. 

In addition, due to increased global trade and to avoid risk of payments, the importers and exporters are largely implementing protection for their trade documents via letter of credit confirmation services. However, the online letter of involvement of several intermediaries has led to the credit confirmation procedure more prone to fraudulent and cyber attacks such as loss of huge trade amounts and confidential data leakages. This, as a result, becoming major restraining factors in the letter of credit confirmation market. 

On the basis of L/C type, the sight L/Cs segment dominated the letter of credit confirmation industry in 2019 and is projected to maintain its dominance during the forecast period. Sight payment methods are largely used by traders due to it instant and timely payment features in the market. Furthermore, under sight payments, the sellers receives the payment quickly after shipping the goods, thus fueling the market growth and are expected to grow at a significant CAGR during the forecast period.

The large enterprises segment accounted for the largest market share in letter of credit confirmation industry in 2019 and is projected to maintain its dominance during the forecast period. The presence of big giants from different industry verticals in foreign trade has led them to be the major adopter of letter of credit confirmation. However, small & medium enterprises segment is expected to exhibit highest growth during the forecasted period.

By region, the global letter of credit confirmation market was dominated by Asia-Pacific in 2019 and is expected to maintain this trend during the forecast period. The significant growth of trade among small & medium enterprises in developing economies, such as India and China are the major factors driving the letter of credit confirmation market growth. The dependency of traders in developing countries on letters of credit services is expected to maintain its dominance during the forecast period.

Key Findings Of The Study

  • By L/C type, the sight L/Cs segment led the letter of credit confirmation market size in terms of revenue in 2019.

  • By region, LAMEA is expected to exhibit significant growth during the forecasted period.

  • By end user, the large enterprises segmented accounted for the highest letter of credit confirmation market share in 2019.

  • By region, Asia-Pacific generated the highest revenue in 2019.

The key players profiled in the letter of credit confirmation market are Bank of America Corporation, Citigroup, Inc., DBS Bank Ltd, JP Morgan Chase & Co., Mizuho Bank, Ltd., MUFG Bank, Scotiabank, Standard Chartered, Sumitomo Mitsui Banking Corporation, and The PNC Financial Services Group, Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.

Need More Information

pr-det-talk Talk to David (Europe)

pr-det-talk Talk to Sona Padman (Americas)

5933 NE Win Sivers Drive #205,
Portland, OR 97220 United States

pr-det-phone Toll Free: +1-800-792-5285

pr-det-phone UK: +44-845-528-1300

pr-det-phone Hong Kong: +852-301-84916

pr-det-phone India (Pune): +91 2066346060

pr-det-phone Fax: +1(855) 550-5975

pr-det-phone help@alliedmarketresearch.com

 

For Media Inquiries, Please Contact

Ram D
Communications Officer
Allied Market Research
Contact Toll Free: +1-800-792-5285
Drop us an email at
media@alliedmarketresearch.com

 
 

First time buyer?
Check offers and discount on this report
To get this report

 
Click Here
 
 

quote Letter of Credit Confirmation Market by L/C Type (Sight L/Cs and Usance L/Cs), and End User (Small Enterprises, Medium-sized Enterprises, and Large Enterprises): Global Opportunity Analysis and Industry Forecast, 2020–2027 quote

View Report
 
 
Avenue Video Loading...

Avenue: Entire Library membership of Allied Market Research Reports at your disposal

  • Avenue is an innovative subscription-based online report database.
  • Avail an online access to the entire library of syndicated reports on more than 2,000 niche industries and company profiles on more than 12,000 firms across 11 domains.
  • A cost-effective model tailored for entrepreneurs, investors, and students & researchers at universities.
  • Request customizations, suggest new reports, and avail analyst support as per your requirements.
  • Get an access to the library of reports at any time from any device and anywhere.

 
 

Why Allied Market Research?

Infallible Methodology

To ensure high-level data integrity, accurate analysis, and impeccable forecasts

Analyst Support

For complete satisfaction

Customization

On-demand customization of scope of the report to exactly meet your needs

Targeted Market View

Targeted market view to provide pertinent information and save time of readers

 

Featured Readings

 
 

Get Fresh content delivered

Get insights on topics that matter to your business. Stay updated on the area that interests you.

 
Get Industry Data Alerts
 

Buy Full Version
"Letter of Credit Confirmation Market"
Purchase Enquiry