Marketplace Lending (Consumer) - Belarus

The projected total transaction value in the MarketMarketplace Lending (Consumer) market market in Belarus is expected to reach US$17.08m by 2024.
When comparing globally, it is evident that the United States leads with a transaction value of US$28bn in the same year.
Key Market Indicators offer a glimpse into the social and economic landscape of Belarus, shedding light on market-specific trends.
These indicators, in conjunction with data from statistical offices, trade associations, and businesses, form the basis for the Statista market models.
Belarusian Marketplace Lending sector in Capital Raising sees a surge in peer-to-peer platforms, offering alternative financing options to consumers.

Definition:

Marketplace Lending platforms offer private users the option to place requests for loans in an online marketplace to find private investors who would invest at an appropriate interest rate. These services apply a credit score and list the financial requests by intended purpose before fixing a lending rate. One or more investors can then serve the credit request. Although banks act in cooperation with the platform providers, the lending is done, in principle, without direct exposure, risk audits or the formal requirements normally associated with credit lending. This is attractive for many users because the processes are expedited, there is less demand when it comes of the borrower’s creditworthiness and the conditions are often more flexible than with traditional bank loans. Users are defined in this case as active borrowers on an online platform; applicants or investors who are only partially recorded as users are not included. The amount of outstanding, short-term installments or consumer loans recognized during the applicable year is used here as a benchmark.

Additional Information:

Key players in the market are Lending Club, Zopa, Auxmoney and Prosper.

Online marketplace for personal loan applications and private investors
Peer-to-Peer loans with interest rates depending on internal credit scoring of the platform provider

Online comparison websites for bank loans
Traditional bank loans
Loans for business purposes (see Crowdlending)

The Marketplace Lending (Consumer) market in Belarus is experiencing significant growth and development.

Customer preferences: Belarusian consumers are increasingly turning to marketplace lending platforms as an alternative to traditional banks for their borrowing needs. This shift in preference can be attributed to several factors. Firstly, marketplace lending offers a more streamlined and convenient borrowing process compared to traditional banks, with faster approval times and less stringent eligibility criteria. Additionally, marketplace lending platforms often provide borrowers with more flexible loan terms and lower interest rates, making them an attractive option for those seeking affordable financing options.

Trends in the market: One of the key trends in the marketplace lending market in Belarus is the rise of peer-to-peer lending platforms. These platforms connect individual lenders directly with borrowers, eliminating the need for intermediaries such as banks. This trend is driven by the increasing popularity of online lending platforms, which provide borrowers with easy access to a wide range of loan options and lenders with the opportunity to earn higher returns on their investments. As a result, peer-to-peer lending has become a preferred choice for both borrowers and lenders in Belarus. Another trend in the marketplace lending market in Belarus is the growing demand for small business loans. As the country's economy continues to grow and diversify, more entrepreneurs and small business owners are seeking financing to fund their ventures. Marketplace lending platforms have emerged as a viable source of funding for these businesses, offering them quick and efficient access to capital without the need for extensive paperwork or collateral. This trend is expected to continue as the entrepreneurial ecosystem in Belarus continues to thrive.

Local special circumstances: Belarus has a relatively underdeveloped banking sector, with limited access to credit for many individuals and businesses. This has created a gap in the market that marketplace lending platforms are filling. By leveraging technology and data analytics, these platforms are able to assess the creditworthiness of borrowers more effectively and provide loans to those who may have been overlooked by traditional banks. The emergence of marketplace lending in Belarus is therefore driven by the need for accessible and affordable credit in the country.

Underlying macroeconomic factors: The growth of the marketplace lending market in Belarus is also influenced by macroeconomic factors. The country has experienced stable economic growth in recent years, with a focus on diversifying its economy and attracting foreign investment. This has created a favorable environment for marketplace lending platforms to operate and expand. Additionally, the government has introduced regulatory frameworks to support the development of the fintech industry, including marketplace lending. These factors have contributed to the growth and development of the marketplace lending market in Belarus. In conclusion, the Marketplace Lending (Consumer) market in Belarus is experiencing significant growth and development, driven by customer preferences for convenient and affordable borrowing options, the rise of peer-to-peer lending platforms, the growing demand for small business loans, the need for accessible and affordable credit in the country, and favorable macroeconomic factors.

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us 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 relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

Crowdfunding is the collective effort of a large number of individuals who network and pool small amounts of capital to finance a new or existing business venture. Each campaign is set for a goal amount of money and a fixed timeframe, each day is counted down and the money raised will be tallied up for visitors to follow its success. The size of the global crowdfunding market is growing and the largest markets are North America and Asia.