Sunday, October 14, 2018

Increasing Focus On Security Of Card Payments


The focus on the security of card-based payments has increased significantly across the world. This is mainly to prevent card fraud losses incurred by banks and according to Capgemini, the worldwide value of fraud losses reached US$16 billion in 2014.  In this regard, payment service providers and merchants have implemented various solutions including the Payment Card Industry Data Security Standard (PCI DSS) compliance, EMV technology, 3-D secure services, tokenization, biometrics and end-to-end encryption. To combat the constantly evolving card fraud methods, the National Retail Federation (NRF) also updates its security guidelines continuously.

THE BUSINESS RESEARCH COMPANY EXPECTS THE LENDING AND PAYMENTS GLOBAL MARKET TO GROW TO $9.2 TRILLION BY 2021

Asia Pacific was the largest region in the lending and payments market in 2017, accounting for $3.6 trillion or half of the market share. This can be attributed to appetite for cheaper loans in countries such as China.

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The chart below shows the year-on-year growth of the lending and payments market during 2017– 2021



According to The Business Research Company’s Consultant, Nitin Gianchandani, the global payments industry has witnessed rapid increase in the adoption of EMV technology. This growth is driven by a higher level of data security offered by EMV chip and PIN cards as compared to traditional magnetic stripe cards. EMV is a security standard for various payment cards including debit, credit, charge and prepaid cards. The chip carries data of the cardholder and the account, which is protected using both hardware and software security measures. According to global technical body EMVCo, the number of EMV chip payment cards across the world reached 4.8 billion by the end of 2015. In line with the rest of the world, the adoption rate of EMV chip payment cards has steadily grown across various regions in world, reaching 71.7% in Canada, Latin America and the Caribbean region, 61.2% in Africa and the Middle East region, and 32.7% in Asia-Pacific region.


Industrial and Commercial Bank of China was the largest player in the lending and payments market in 2017, with revenues of $129 billion in 2017. Industrial and Commercial Bank of China’s growth strategy is focus on providing IT based banking services to its customers. As a part of its internationalization strategy the firm has established new branch in Rotterdam, Netherlands in January 2016. It launched e-ICBC brand which includes e-buy and e-connect platforms as a strategy to expand its internet banking business in 2015.

The lending and payments market comprises all establishments engaged in lending and payments related activities such as lending, payments and transferring service. The lending and payments industry is categorized on the basis of the business model of the firms present in the industry. Some firms might come under multiple categories.

Lending and Payments Global Market Report 2018 is a detailed report giving a unique insight into this market. The report is priced at $1000 for an individual user. To use across your office, the price is $1500 and $2000 if you wish to use across a multinational company.

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