Global embedded finance revenue is set to jump 148 per cent over the next four years, according to new research.

The study by Juniper Research indicates that by 2028 revenue in the market will increase from $92 billion to $228 billion.

The company said that growth will be driven by “increasing market maturity” as well as consumer confidence.

It went on to say that higher revenue would be further supported by greater acceptance and applications, particularly within the B2B market.

The research also found that new advances within the market are driving growth for specific use cases, for example multi-rail payments.

It says that embedded finance companies such as Balance and Marqeta have been aggregating numerous Open Banking APIs to allow for cheaper payments across areas such as bulk disbursements or cross-border payments.

Research author Matt Purnell said that with comprehensive product suites being rolled out due to the use of newly developed technologies, B2B embedded financial services have “strong potential”.

“This encourages businesses to adopt embedded finance offerings; for example, expansive cross-border capabilities utilising consolidated APIs or cloud accounting solutions using artificial intelligence,” he continued.

The report also identified embedded insurance as a segment experiencing a surge in adoption globally; predicted to grow by 125 per cent from 2024 to 2028.

According to Juniper Research, embedded insurance is increasingly available for e-commerce platforms, with the convenience provided "incentivising consumers to take out policies mid-checkout".

It said that while Asian Pacific governments including Singapore and Malaysia have been promoting the uptake of digital insurance for consumer and commercial use, it is still an uncommon offering from many leading vendors, despite significant growth potential.

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