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Marketplace Lending (Consumer) - Latvia

Latvia

The total transaction value in the MarketMarketplace Lending (Consumer) market market in Latvia is projected to reach US$4.4m in 2024.
When considering a global perspective, the highest transaction value is expected to be reached the United States (US$26,720m in 2024).
Key Market Indicators offer a glimpse into the social and economic landscape of Latvia and shed light on specific market developments.
These indicators, in conjunction with data from statistical offices, trade associations, and companies, form the basis for the Statista market models.
Latvia's marketplace lending sector is experiencing a surge in consumer capital raising activities, driven by innovative platforms and growing investor interest.

Key regions: United Kingdom, United States, China, Brazil, Australia

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Analyst Opinion

The Marketplace Lending (Consumer) market in Latvia has been experiencing significant growth in recent years, driven by changing customer preferences, emerging trends in the market, and local special circumstances. Customer preferences in the Marketplace Lending (Consumer) market in Latvia have shifted towards online platforms due to their convenience and accessibility.

With the increasing use of smartphones and internet penetration, consumers are increasingly turning to online platforms for their borrowing needs. This trend is in line with the global market, where online lending platforms have gained popularity. Trends in the Marketplace Lending (Consumer) market in Latvia indicate a growing demand for personal loans and small business loans.

As the economy continues to recover from the global financial crisis, individuals and small businesses are seeking alternative sources of financing. Online lending platforms offer a quick and efficient way to access funds, making them an attractive option for borrowers. Additionally, the rise of peer-to-peer lending has provided borrowers with more options and competitive interest rates.

Local special circumstances have also contributed to the development of the Marketplace Lending (Consumer) market in Latvia. The traditional banking sector in the country has been relatively conservative in its lending practices, making it difficult for some individuals and small businesses to obtain loans. Online lending platforms have filled this gap by offering loans to borrowers who may not meet the strict criteria of traditional banks.

This has led to increased competition in the market and has driven innovation in the lending industry. Underlying macroeconomic factors have also played a role in the growth of the Marketplace Lending (Consumer) market in Latvia. The country's strong economic performance and low interest rates have created a favorable environment for borrowing.

Additionally, the government has implemented policies to support the growth of the fintech sector, including the establishment of a regulatory framework for online lending platforms. These factors have contributed to the overall growth and development of the Marketplace Lending (Consumer) market in Latvia. In conclusion, the Marketplace Lending (Consumer) market in Latvia is experiencing growth due to changing customer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors.

Online lending platforms have become increasingly popular among borrowers, offering a convenient and accessible alternative to traditional banks. The demand for personal and small business loans is on the rise, and the competitive landscape of the market is driving innovation. With a favorable economic environment and government support, the Marketplace Lending (Consumer) market in Latvia is expected to continue its growth trajectory in the coming years.

Methodology

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.