Market Insights Financial Banking Traditional Banks

Traditional Retail Banking - EAEU

EAEU

In the EAEU, the Traditional Retail Banking market market is projected to witness a substantial increase in Net Interest Income, reaching an estimated value of US$39.56bn in 2024.
This reflects the financial performance of the banking sector within the EAEU member countries.
The market is expected to experience a modest annual growth rate (CAGR 2024-2029) of 1.77%, resulting in a market volume of approximately US$43.18bn by 2029.
When comparing the global market, it is worth noting that China is expected to generate the highest Net Interest Income, with an estimated value of US$2,426.0bn in 2024.
This highlights the dominant position of the US banking sector in terms of revenue generation.
In the EAEU, traditional retail banking is experiencing a shift towards digitalization, with banks like Sberbank leading the way in offering online banking services.

Key regions: France, Brazil, Germany, United Kingdom, United States

Definition:
Traditional retail banking refers to the financial services sector that provides a range of financial products and services to individual consumers through store-based branches and other traditional channels. These services include personal loans, savings and checking accounts, credit cards, mortgages, and other financial products designed specifically for individual consumers.
Traditional retail 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.
Despite facing increased competition and changing customer preferences, traditional retail banks continue to play a vital role in the financial landscape. They are continually seeking ways to improve their offerings and remain competitive by leveraging technology and offering innovative financial products and services.
Overall, traditional retail banking provides a wide range of financial services to individual consumers through established, trusted channels and continues to be an important part of the financial landscape.

Structure:
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., Bank of America Corp., and BNP Paribas.

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

Market

Region

Region comparison

Currency

Analyst Opinion

The Traditional Retail Banking market in EAEU is experiencing significant growth and evolution, driven by various factors shaping the industry in the region.

Customer preferences: Customers in the EAEU region are increasingly seeking convenience, personalized services, and digital banking solutions. This shift in preferences is pushing traditional retail banks to enhance their digital offerings, improve customer experience, and provide more tailored financial products and services to meet the evolving needs of their clients.

Trends in the market: One prominent trend in the EAEU Traditional Retail Banking market is the rising adoption of mobile banking and online platforms. This trend is fueled by the growing tech-savvy population in the region and the convenience these digital channels offer to customers in managing their finances. Additionally, there is a noticeable trend towards banks investing in data analytics and AI technologies to better understand customer behavior and provide more targeted services.

Local special circumstances: In the EAEU region, regulatory frameworks and government policies play a significant role in shaping the Traditional Retail Banking market. The harmonization of banking regulations among EAEU member states has facilitated cross-border banking operations and increased competition in the market. Moreover, cultural preferences and local market dynamics influence the product offerings and marketing strategies of traditional retail banks in the region.

Underlying macroeconomic factors: The macroeconomic environment in the EAEU, including factors such as GDP growth, inflation rates, and interest rates, has a direct impact on the Traditional Retail Banking market. Economic stability and growth in the region contribute to increased consumer confidence, higher demand for banking services, and overall market expansion. Additionally, geopolitical developments and trade agreements among EAEU member states can influence the flow of capital and investment opportunities in the banking sector.

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.