Traditional Banks - Burkina Faso

Burkina Faso

In Burkina Faso, the Net Interest Income within the Traditional Banks market market is predicted to reach US$1.39bn in the year 2024.
Traditional Retail Banking holds the dominant position in this market segment, with a projected market volume of US$1.21bn in the same year.
Looking ahead, the Net Interest Income is anticipated to display an annual growth rate of 4.95% (CAGR 2024-2029), resulting in a market volume of US$1.77bn by 2029.
Comparing globally, China is expected to generate the highest Net Interest Income, amounting to US$3,869.0bn in the year 2024.
Traditional banks in Burkina Faso are adapting to the digital era by offering mobile banking services to meet the changing needs of their customers.

Key regions: Germany, United Kingdom, France, Japan, China

Definition:

The Traditional Retail and Commercial Banks market refers to the financial services sector that provides a range of financial products and services to individuals and businesses through store-based branches and other traditional channels. Retail banking focuses on offering financial services to individual consumers, such as personal loans, savings and checking accounts, credit cards, and mortgages. Commercial banking, on the other hand, provides financial services to small and large businesses, including loans, lines of credit, and other financial products designed specifically for businesses.
The traditional banking market is highly competitive and characterized by the presence of large global players as well as regional and local banks. These banks have a long history of serving customers and have established relationships and a deep understanding of the financial needs of their communities. They offer a wide range of services and are able to provide personalized advice and support to their customers.
In this market, banks are continually seeking ways to improve their offerings and remain competitive by leveraging technology and offering innovative financial products and services. However, they also face challenges, such as increased competition and changing customer preferences, which are driving the need for continuous improvement and adaptation.
Overall, the traditional retail and commercial banking market provides a wide range of financial services to both individuals and businesses through established, trusted channels and continues to play a vital role in the financial landscape.

Structure:

The market consists of two segments:
- The Traditional Retail Banks market refers to financial services provided to individual consumers (e.g., personal loans, savings and checking accounts, credit cards, mortgages).
- The Traditional Commercial Banks market refers to financial services provided to businesses, including small and large enterprises (loans, lines of credit, other financial products specifically designed for businesses).

The market data comprises Net Interest Income, the value of Deposits, the value of Loans, Credit Card Interest Income, the number of ATMs as well as the number of Bank Branches.

Additional information:

The Banking market is highly competitive and characterized by the presence of large global players as well as regional and local banks. Banks are continually seeking ways to improve their offerings and remain competitive by leveraging technology and offering innovative financial products and services. Additionally, changes in regulations and the growing trend toward digitalization are shaping the retail and commercial banking market, creating opportunities for new entrants and forcing existing players to adapt.

Key players in this market are companies such as Industrial and Commercial Bank of China Ltd., JPMorgan Chase & Co., and HSBC Holdings.

Use the info button next to the boxes for more information on the data displayed.

Market

Region

Region comparison

Currency

Analyst Opinion

The Traditional Banks market in Burkina Faso is experiencing significant growth and transformation in response to changing customer preferences and local special circumstances.

Customer preferences: Customers in Burkina Faso are increasingly seeking convenient and accessible banking services, driving the demand for traditional banks to expand their digital offerings. With the rise of mobile banking and online transactions, customers are looking for secure and efficient ways to manage their finances remotely.

Trends in the market: One of the key trends in the Traditional Banks market in Burkina Faso is the expansion of branch networks to reach underserved rural areas. Traditional banks are investing in establishing physical presence in these regions to tap into new customer segments and provide financial services to previously unbanked populations. Additionally, there is a growing trend towards offering tailored products and services to meet the specific needs of different customer segments, such as small businesses and farmers.

Local special circumstances: In Burkina Faso, the Traditional Banks market is influenced by the country's efforts to promote financial inclusion and economic development. The government has implemented policies to support the growth of the banking sector and improve access to financial services for all citizens. This has created opportunities for traditional banks to expand their operations and reach a wider customer base.

Underlying macroeconomic factors: The growth of the Traditional Banks market in Burkina Faso is also supported by favorable macroeconomic conditions, including stable economic growth and low inflation rates. As the economy continues to develop, there is an increasing demand for banking services to support business activities and personal financial management. This presents traditional banks with opportunities to innovate and expand their service offerings to meet the evolving needs of customers in Burkina Faso.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on Net Interest Income, Bank Account Penetration rate, the value of Deposits, the number of depositors, the value of Loans, the number of borrowers, Credit Card Interest Income, the number of ATMs as well as the number of Bank Branches.

Modeling approach / Market size:

Market sizes are determined by a combined Top-Down and Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use data provided by the IMF, World Bank and the annual reports of the top 1000 Banks by asset size. Next we use relevant key market indicators and data from country-specific associations such as GDP, deposit interest rates, lending interest rates or bank account penetration rates. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, the S-curve function and exponential trend smoothing are well suited to forecast financial services for digital as well as traditional products and services.

Additional Notes:

The market is updated twice per year in case market dynamics change.