Dublin, Feb. 24, 2025 (GLOBE NEWSWIRE) — The “India Trade Finance Market, By Region, Competition, Forecast & Opportunities, 2020-2030F” report has been added to ResearchAndMarkets.com’s offering.
The India Trade Finance Market was valued at USD 2.06 Billion in 2024, and is expected to reach USD 3.18 Billion by 2030, rising at a CAGR of 7.56%
The India trade finance market is witnessing significant growth, driven by the expansion of international trade, increasing adoption of digital financial services, and government initiatives to promote exports. The rising need for efficient cross-border payment solutions and the growing demand for supply chain financing are further contributing to market expansion.
Digitalization and blockchain technology have enhanced transaction transparency and security, streamlining trade processes. Additionally, the government’s focus on schemes such as Production Linked Incentives (PLI) and export promotion policies is fostering a favorable environment for trade finance growth, positioning India as a key player in the global trade ecosystem.
Increased Focus on Supply Chain Finance
The growing complexity of global and domestic supply chains has driven the need for efficient supply chain finance solutions in the India trade finance market. Supply chain finance helps businesses maintain cash flow by providing early payment options to suppliers while allowing buyers extended payment terms. This financial tool has become particularly valuable as companies seek to stabilize their operations and mitigate risks in response to supply chain disruptions.
E-commerce companies, FMCG businesses, and manufacturing firms are increasingly leveraging supply chain finance to enhance procurement efficiency and strengthen supplier relationships. Banks and financial institutions are also developing customized supply chain financing products to cater to diverse industry needs. With the rise of digital supply chain platforms and integration of data analytics, supply chain finance is becoming a critical growth driver for the trade finance market in India.
Expansion of Green and Sustainable Trade Finance
As sustainability becomes a key focus for businesses worldwide, green and sustainable trade finance is gaining momentum in India. Companies are increasingly seeking financial products that support environmentally and socially responsible trade practices. Green trade finance solutions, including loans and guarantees for eco-friendly projects, are emerging as a significant trend in the market.
Financial institutions are now incorporating environmental, social, and governance (ESG) criteria into their trade finance offerings to promote sustainability. Government initiatives encouraging the adoption of green technologies and sustainable business practices are further driving this trend. With India’s commitment to reducing carbon emissions and adopting clean energy sources, the demand for green trade finance solutions is expected to grow in the coming year
Service Provider Insights
Banks dominated the India trade finance market, playing a crucial role in facilitating domestic and international trade transactions. They provide a wide range of financial services, including letters of credit, bank guarantees, and trade loans, ensuring secure and efficient payment mechanisms for businesses.
Leading public and private sector banks have extensive networks and deep industry expertise, making them preferred partners for trade finance. Their adoption of digital platforms has further streamlined trade processes, enhancing transaction speed and transparency. Additionally, regulatory support and partnerships with fintech companies have strengthened banks’ capabilities, solidifying their dominance in the trade finance landscape.
Regional Insights
The North region dominated the India trade finance market, driven by its strong industrial base and robust trade activities. States like Delhi, Haryana, Uttar Pradesh, and Punjab contribute significantly due to their thriving manufacturing, export-oriented industries, and well-established supply chains. The region’s strategic proximity to international trade routes and major ports enhances its trade finance ecosystem.
Additionally, government initiatives and infrastructure development in key industrial zones have further strengthened trade activities. Financial institutions in the region actively provide trade finance solutions to support large-scale businesses, making the North region a critical hub for trade finance in India.
Report Scope:
Key Market Players
- SBM Bank (India) Ltd.
- HDFC Bank Limited
- Yes Bank Limited
- Standard Chartered Group
- Kotak Mahindra Bank Limited
- The Federal Bank Limited
- Hongkong and Shanghai Banking Corporation Limited
- Terkar Global Financial Development Pvt Ltd.
- Axis Bank Limited
- Bank of Baroda
India Trade Finance Market, By Product Type:
- Letters of Credit
- Export Factoring
- Insurance
- Bill of Lading
- Guarantees
- Others
India Trade Finance Market, By Service Provider:
- Banks
- Trade Finance Houses
- Others
India Trade Finance Market, By Application:
India Trade Finance Market, By Region:
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 81 |
| Forecast Period | 2024 – 2030 |
| Estimated Market Value (USD) in 2024 | $2.06 Billion |
| Forecasted Market Value (USD) by 2030 | $3.18 Billion |
| Compound Annual Growth Rate | 7.5% |
| Regions Covered | India |
For more information about this report visit https://www.researchandmarkets.com/r/g9uimr
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- Indian Trade Finance Market
