Digital Finance Market

---

 According to the McKinsey Global Institute, two billion individuals and 200 million businesses in emerging economies today lack access to savings and credit, and even those with access can pay dearly for a limited range of products. Rapidly spreading digital technologies now offer an opportunity to provide financial services at much lower cost, and therefore profitably, boosting financial inclusion and enabling large productivity gains across the developing economies by providing banking and payment services to those without formal identifications. While the benefits of digital finance, financial services delivered via mobile phones, the internet or cards—have been widely noted, in this report we seek to quantify just how large the economic impact could be.  Digital finance has the potential to provide access to financial services for 1.6 billion people in emerging economies, more than half of them women. It could increase the volume of loans extended to individuals and businesses by $2.1 trillion and allow governments to save $110 billion per year by reducing leakage in spending and tax revenue.