Market Size of Canada Real Time Payments Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 8.12 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Canada Real-Time Payments Market Analysis
The Canadian real-time payment market is expected to significantly grow 8.12% from 2022-2027. The reason for such change is the back growing adoption of the e-commerce economy and online transactions in Canada
- Real-time payments have been available in Canada since Interac e-Transfer in 2002. The adoption and use of real-time payments steadily gained traction over the last few years, thanks to the wider participation by more than 250 financial institutions as of December 2021 and a continued preference for electronic payments among consumers.
- However, real-time payments still accounted for a smaller share of 4.9% in volume in 2021, compared to 77% of the non-instant electronic payments. This is due tcountry'sntry's high adoption and usage of payment cards. The increased contactless payments limit amid the COVID-19 outbreak has pushed their use for day-to-day, low-value transactions.
- Meanwhile, Payments Canada is developing a new and advanced real-time payments system known as Real-Time Rail (RTR), which is expected to go live in 2022. The launch of this new system is anticipated to accelerate real-time payments growth over the next few years.
- Net benefits of real-time payments for consumers and businesses hit $204 million in 2021, mainly due to the reduction of failed transactions, contributing to half of these savings ($102 million). Failed transactions generate an associated annual cost of $118.5 billion globally, borne by financial institutions, consumers, and other businesses across the globe.
- Consumers expect merchants and businesses to provide payment options to meet their preferences, whether at the point of sale, for online purchases, or to pay their bills and taxes. Speed, security, convenience, traceability, and payment options are all key factors that iCanadians'dians' payments experience - and that can make the difference between a frictionless experience and creating frustration.
