Global banking, financial services and insurance security market to grow to US$48.95 billion by 2021: report

The global banking, financial services and insurance (BFSI) security market is estimated to grow to nearly US$50 billion by 2021, driven by regulatory, security and cyber factors.

Market research firm MarketsandMarkets said in a report released Thursday that the BFSI security market is estimated to grow from US$30.23 billion in 2016 to US$48.95 billion by 2021 at a compound annual growth rate (CAGR) of 10.1% from 2016 to 2021.

“Key drivers of this market include the implementation of regulatory security compliance, rising demand for cloud-based security solutions, and the increasing risk of cyber threats against BFSI infrastructure,” MarketsandMarkets said in a press release.

The study, which attempts to forecast the market size with respect to five main regions – North America; Europe; Asia-Pacific; Middle East & Africa; and Latin America – also tracks and analyzes competitive developments, such as mergers and acquisitions, new product developments and research and development activities in the market.

Last month, another market research firm, Research and Markets, reported that the global cybersecurity market was set to grow from US$122.45 billion in 2016 to US$202.36 billion by 2021 at a CAGR of 10.6%.

The report noted that cybersecurity solutions have been deployed across various industry verticals, including BFSI, aerospace & defence; government and public utilities; IT & telecom; healthcare; retail; and manufacturing; among others. The BFSI vertical is expected to witness the highest CAGR – 11.6% – during the forecast period “because of the increasing adoption of web and mobile applications, which are prone to advanced cyberattacks,” Research and Markets said at the time.