Instant Payments Market Report 2025

The instant payments market size has grown exponentially in recent years. It will grow from $67.74 billion in 2024 to $84.31 billion in 2025 at a compound annual growth rate (CAGR) of 24.5%. The growth during the historic period can be attributed to increasing smartphone penetration, rising demand for faster transactions, growth in e-commerce activities, greater adoption of digital banking, and an increasing need for real-time fund transfers.

The instant payments market size is expected to see exponential growth in the next few years. It will grow to $199.97 billion in 2029 at a compound annual growth rate (CAGR) of 24.1%. The growth expected in the forecast period is driven by a growing preference for cashless economies, expanding integration of instant payments with e-commerce platforms, rising government support for digital payments, increased adoption of API-based payment solutions, and growing demand for cross-border instant transactions. Key trends in the forecast period include advancements in real-time payment infrastructure, enhanced fraud detection technologies, development of cross-border instant payment solutions, innovations in mobile payment applications, and progress in API-driven payment platforms.

The growing use of contactless payments is expected to support the expansion of the instant payments market in the coming years. Contactless payments are a fast and secure method that allows users to complete transactions by tapping a card or device near a compatible terminal using near field communication (NFC) or radio frequency identification (RFID) technology. The adoption of this payment method is increasing due to consumer demand for quick and convenient transactions that do not require physical contact or PIN entry. Instant payments complement contactless methods by enabling real-time fund transfers, resulting in faster and smoother transaction processing. They enhance user experience by offering secure, immediate payments across digital platforms. For example, in July 2024, UK Finance, a financial services organization based in the UK, reported that in 2023 the country recorded 18.3 billion contactless payments - a 7% increase from 17 billion in 2022. As a result, the growing use of contactless payments is contributing to the growth of the instant payments market.

Key players in the instant payments market are prioritizing the development of innovative solutions, such as real-time payments, to improve transaction speed, offer greater user convenience, and address the rising demand for efficient digital financial services. Real-time payments are immediate fund transfers that occur within seconds, allowing money to move between accounts at any time with instant confirmation and settlement. For example, in January 2023, ACI Worldwide, a US-based software firm, introduced ACI Instant Pay, a solution designed to provide real-time, secure payments for merchants and billers. This system allows for instant online, in-store, and mobile payments without card fees, offering instant settlement and reduced fraud risk through easy API integration. It helps merchants improve cash flow, reduce operational costs, and enhance the customer experience by delivering a fast, safe, and seamless payment option.

In January 2024, Worldline S.A., a France-based financial services company, partnered with Commerzbank Aktiengesellschaft. The goal of this partnership is to facilitate instant payments in euros and Swiss francs across multiple European countries by integrating Worldline’s scalable payments back-office platform with Commerzbank’s infrastructure. Commerzbank Aktiengesellschaft is a Germany-based banking institution that provides instant payment services through SEPA (Single Euro Payments Area) instant credit transfers.

Major players in the instant payments market are Visa Inc., PayPal Holdings Inc., Mastercard Incorporated, Fiserv Inc., Fidelity National Information Services Inc., Adyen N.V., Nexi S.p.A., Worldline SA, Klarna Bank AB, Alipay, Revolut Ltd., Stripe Inc., ACI Worldwide Inc., Swift, Paytm, PhonePe Private Limited, Razorpay Software Private Limited, Volante Technologies Inc., National Payments Corporation of India, Amazon Pay, The Clearing House Payments Company L.L.C., NACHA, Zelle, Google Pay.

Asia-pacific was the largest region in the instant payments market in 2024. The regions covered in instant payments report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the instant payments market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s recommendations and conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the financial sector, particularly in investment strategies and risk management. Heightened tariffs have fueled market volatility, prompting cautious behavior among institutional investors and increasing demand for hedging instruments. Banks and asset managers are facing higher costs associated with cross-border transactions, as tariffs disrupt global supply chains and dampen corporate earnings, key drivers of equity market performance. Insurance companies, meanwhile, are grappling with increased claims risks tied to supply chain disruptions and trade-related business losses. Additionally, reduced consumer spending and weakened export demand are constraining credit growth and investment appetite. The sector must now prioritize diversification, digital transformation, and robust scenario planning to navigate the heightened economic uncertainty and protect profitability.

Instant payments are electronic fund transfers that are processed and settled in real time, usually within seconds, and operate 24/7, including weekends and holidays. These payments ensure the immediate availability of funds to the recipient. The primary goal of instant payments is to enable fast, secure, and efficient financial transactions for individuals, businesses, and governments.

The main types of instant payments include person-to-business, business-to-business, person-to-person, and others. Person-to-business transactions involve individuals making payments to businesses for goods, services, or obligations such as retail purchases, online shopping, and utility bills. The instant payments ecosystem revolves around core components such as solutions, payment gateways, payment processing, security and fraud management, and related services. These transactions employ various technologies including mobile payments, online transfers, contactless payments, and cryptocurrencies, and are deployed through both cloud and on-premise models. Instant payments serve a wide range of industries, including retail and e-commerce, banking, financial services and insurance (BFSI), information technology and telecom, travel and tourism, government, healthcare, energy and utilities, and more.

The instant payments market research report is one of a series of new reports that provides instant payments market statistics, including instant payments industry global market size, regional shares, competitors with an instant payments market share, detailed instant payments market segments, market trends and opportunities, and any further data you may need to thrive in the instant payments industry. This report on the instant payments market delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The instant payments market consists of revenues earned by entities by providing services such as real-time fund transfers, peer-to-peer (P2P) payment solutions, payment gateway integration, fraud detection and prevention, clearing and settlement services, and digital wallet support. The market value includes the value of related goods sold by the service provider or included within the service offering. The instant payments market also includes sales of software platforms, mobile applications, point-of-sale (POS) systems, payment terminals, cloud-based payment solutions, and application programming interfaces (APIs) that enable real-time transaction processing. Values in this market are ‘factory gate’ values; that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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