The South Korea digital payments market size was estimated to expand at a CAGR of 8.70% between 2025 and 2034.

The South Korea Payments Market is Segmented by Mode of Payment (Point of Sale (Card Payments, Digital Wallet, Cash), Online Sale (Card Payments, Digital Wallet)), and by End-user Industries (Retail, Entertainment, Healthcare, Hospitality).

The South Korean mobile payment market is experiencing robust growth, projected to reach $40.67 billion in 2025 and maintain a Compound Annual Growth Rate (CAGR) of 9.13% from 2025 to 2033. This expansion is driven by several key factors. Increasing smartphone penetration and a young, tech-savvy population readily embrace cashless transactions. Furthermore, government initiatives promoting digitalization and a strong e-commerce sector fuel the adoption of mobile payment solutions. The convenience and security offered by these platforms, coupled with lucrative rewards programs and seamless integration with other services, further contribute to market growth. Competition is fierce, with established players like KakaoPay, Samsung Pay, and Naver Pay vying for market share alongside newer entrants. This competitive landscape fosters innovation, leading to the development of advanced features such as biometric authentication, peer-to-peer payments, and integration with various loyalty programs. While data limitations prevent precise regional breakdowns, the concentrated nature of the South Korean market suggests a predominantly domestic focus with limited international expansion at this stage. The market's future trajectory remains positive, fueled by ongoing technological advancements and consumer preference shifts towards digital payments. The continued growth of the South Korean mobile payment market is anticipated to be influenced by several factors. The expansion of 5G infrastructure will enable faster and more secure transactions, further boosting adoption rates. The integration of mobile payments with other financial services, such as loans and investments, will broaden the market's appeal. However, potential challenges include concerns surrounding data security and privacy, as well as the need for continuous innovation to maintain a competitive edge and satisfy evolving consumer expectations. The market will likely see increased consolidation as smaller players seek partnerships or acquisitions to remain competitive. The ongoing efforts to improve financial literacy and digital inclusion will also play a role in determining the overall success and penetration rate of mobile payment systems within the country. Key drivers for this market are: Increasing Adoption of Mobile Devices, The Growing Demand and Inclination Towards E-commerce and Online Shopping. Potential restraints include: Growing Cyber Threats in the region. Notable trends are: E-commerce Industry is expected to drive the growth of the market.

The South Korean real-time payments (RTP) market is experiencing explosive growth, projected to reach $1.48 billion in 2025 and maintain a robust Compound Annual Growth Rate (CAGR) of 37.91% from 2025 to 2033. This expansion is fueled by several key drivers. The increasing adoption of smartphones and mobile banking, coupled with a digitally savvy population, creates a fertile ground for RTP services. Furthermore, the South Korean government's initiatives to promote fintech and digital financial inclusion are significantly accelerating market penetration. The convenience and speed offered by RTP systems are disrupting traditional payment methods, leading to widespread adoption across both peer-to-peer (P2P) and peer-to-business (P2B) transactions. Key players like KakaoPay, Naver Pay, and Toss are driving innovation and competition, constantly improving user experience and expanding functionalities. While challenges such as cybersecurity concerns and the need for robust regulatory frameworks exist, the overall market trajectory remains strongly positive. The strong growth is expected to continue due to the increasing integration of RTP into e-commerce platforms, government services, and various business applications. This makes South Korea a prime example of a rapidly evolving digital payments landscape. The competitive landscape is dominated by a mix of established financial institutions and innovative fintech companies. The presence of global players like Visa and Mastercard alongside homegrown giants underscores the market's appeal and maturity. While the P2P segment currently holds a larger market share due to its early adoption, the P2B segment is anticipated to experience accelerated growth in the coming years, driven by increasing business demand for efficient and cost-effective payment solutions. Further segmentation based on transaction value, user demographics, and specific application areas will offer deeper insights into the market's nuances. The forecast period (2025-2033) promises significant expansion, particularly in areas where integration with other financial technologies is possible, such as embedded finance and open banking. This synergistic growth indicates a robust and resilient future for the South Korean RTP market. Recent developments include: November 2023 - Visa, has announced the expansion of Real Time Visa Account Updater (VAU) to selected markets in Asia Pacific, streamlining the payment experience for merchants and customers by providing cardholders with a single credential for life. With the introduction of the service in Asia Pacific, consumers and merchants in the region will have access to Real Time VAU across subscription services such as ride-hailing, food delivery and monthly utility payments, amongst others., July 2023 - Fiserv has launched Federal Reserve’s new instant payments system driving more large merchant interest in pay-by-bank capabilities for consumers and by launch of the Federal Reserve’s FedNow instant payments system has heightened interest in pay-by-bank options.. Key drivers for this market are: Digital Transformation coupled with High Smartphone Penetration is Expected to Drive the Market, Growing Need For Faster Payments and Falling Reliance on Traditional Banking; Immediacy and Ease of Convenience of the Real Time Payments. Potential restraints include: Digital Transformation coupled with High Smartphone Penetration is Expected to Drive the Market, Growing Need For Faster Payments and Falling Reliance on Traditional Banking; Immediacy and Ease of Convenience of the Real Time Payments. Notable trends are: Digital Transformation coupled with High Smartphone Penetration is Expected to Drive the Market.

South Korea payments market size reached USD 1.3 Trillion in 2024. Looking forward, IMARC Group expects the market to reach USD 2.4 Trillion by 2033, exhibiting a growth rate (CAGR) of 6.84% during 2025-2033. The growing demand for efficient cross-border payment solutions, increasing reliance on electronic payments for online shopping, and rising utilization of smartphones with the ease of internet facilities represent some of the key factors driving the market.

According to a survey conducted in South Korea in 2024, ********* was the most widely used mobile payment service in South Korea, at about ** percent. *********** and********** followed with around ** and ** percent, respectively. Mobile payments in South Korea The rising digital payment transaction values show that cashless payment is becoming increasingly widespread in South Korea. Having one of the highest smartphone penetration rates in the world, more and more South Koreans are using mobile payment methods. Users register their credit cards with the mobile payment service provider, which enables them to make payments using just a passcode or fingerprint scan, bypassing the authentication process previously required. All they need is a smartphone, whether online or offline. Key mobile payment players As the mobile payment industry grows rapidly, so does the competition. ********* was the leading provider of mobile payments in South Korea in 2023. However, other providers such as *********************** and other credit card institutions are also expanding their services to meet the growing demand for cashless payments. Mobile payments have experienced a significant surge since the outbreak of the COVID-19 pandemic.

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Digital Payment Market Size 2025-2029

The digital payment market size is forecast to increase by USD 304.95 billion, at a CAGR of 25.5% between 2024 and 2029.

The market is experiencing significant growth, driven by the increasing number of online transactions and the growing emergence of mobile apps for shopping transactions. This shift towards digital payments reflects consumers' changing preferences for convenience and contactless transactions. However, this market landscape is not without challenges. Privacy and concerns related to security remain key obstacles. As more financial information moves online, ensuring robust security measures becomes paramount. Companies must prioritize data protection and implement advanced encryption technologies to mitigate risks and build consumer trust. Navigating these challenges while capitalizing on the market's potential for growth requires strategic planning and a commitment to innovation. Companies that can provide secure, user-friendly digital payment solutions will be well-positioned to succeed in this dynamic market.

What will be the Size of the Digital Payment Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
Request Free SampleThe market continues to evolve, with cross-border payments and point-of-sale (POS) systems becoming increasingly integrated. Transaction fees, integration APIs, merchant services, virtual cards, data analytics, cash management, payment gateways, and payment processors are all key components of this dynamic landscape. Loyalty programs, subscription management, business intelligence, and predictive analytics are also gaining traction, providing valuable insights for businesses. Payment networks, biometric authentication, debit cards, contactless payments, QR codes, digital wallets, mobile payments, and regulatory compliance are shaping the future of transactions. Regulatory requirements, such as anti-money laundering (AML) and PCI DSS compliance, ensure secure and transparent processes. Innovations like blockchain technology, recurring billing, customer support, online payments, real-time payments, personal finance management, two-factor authentication, fraud detection, and risk management are driving advancements in the market. Prepaid cards, credit cards, cryptocurrency payments, and batch processing are further expanding the payment ecosystem. As the market continues to unfold, entities must adapt to the ever-changing landscape, ensuring seamless integration of these solutions to cater to the evolving needs of various sectors.

How is this Digital Payment Industry segmented?

The digital payment industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. End-userLarge enterprisesSMEsComponentSolutionsServicesDeploymentOn-premisesCloudMethodDigital walletsBank cardsDigital currenciesApplicationBFSIMedia and entertainmentIT and telecommunicationHospitalityHealthcareGeographyNorth AmericaUSCanadaEuropeFranceGermanyUKAPACChinaIndiaJapanSouth KoreaSouth AmericaBrazilRest of World (ROW)

By End-user Insights

The large enterprises segment is estimated to witness significant growth during the forecast period.The market is witnessing significant growth as businesses increasingly adopt contactless and card-based transactions. Major industries, including banking, securities, finance and insurance (BSFI), information technology, and manufacturing, are driving this trend. The expansion of BSFI enterprises and the rise of intraregional and cross-border banking activities have fueled the demand for digital payment services. Modern point-of-sale (POS) systems, payment gateways, and processors facilitate seamless transactions for various sectors, such as hotels, restaurants, grocery stores, shopping malls, and event management companies. Integration APIs and merchant services enable businesses to easily accept digital payments. Virtual cards, mobile payments, and digital wallets offer added convenience for consumers. Regulatory compliance, including anti-money laundering (AML) regulations, ensures secure transactions. Data analytics, business intelligence, and predictive analytics provide valuable insights for businesses. Security protocols, such as PCI DSS compliance, protect against fraud. Real-time payments, recurring billing, and personal finance management streamline financial processes. Blockchain technology and cryptocurrency payments offer new possibilities for transactions. Two-factor authentication and biometric authentication add an extra layer of security. Overall, the market is transforming the way businesses and consumers manage transactions.

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The La

South Korea payments market is valued at USD 1.3 trillion, driven by digital adoption, smartphone penetration, and e-commerce growth, with key segments in mobile and online payments.

The South Korean payments industry is projected to grow at a CAGR of 8.14% from 2025 to 2033, reaching a market size of XX million by 2033. The growth is driven by increasing digital adoption, rising e-commerce penetration, and government initiatives promoting cashless payments. Key trends include the rapid adoption of mobile wallets, contactless payments, and QR code-based payments. The increasing use of smartphones and the growing popularity of mobile commerce are fueling the growth of digital payments in South Korea. Prominent players in the payments industry include Visa Inc, Mastercard Inc, and Samsung Pay. South Korea has a highly competitive payments landscape with numerous domestic and international players. Strategic partnerships and collaborations are common within the industry to gain market share and enhance service offerings. The industry is also witnessing the emergence of innovative payment solutions, such as biometrics-based payments and the integration of artificial intelligence (AI) in payment processing systems. Recent developments include: In January 2022 - Bhushan International Financial Center (BIFC) announced that it is building a Fintech megastructure with a focus on innovations like metaverse and blockchain technology., In May 2021 - South Korea's central bank announced the building of a pilot platform for a digital currency, moving a step closer to developing a central bank-backed digital currency. The development will finish by the end of 2025.. Key drivers for this market are: High Proliferation of E-commerce, including the rise of m-commerce and cross-border e-commerce supported by the increase in purchasing power, Enablement Programs by Key Retailers and Government encouraging digitization of the market; Growth of Real-time Payments, especially Buy Now Pay Later in the country. Potential restraints include: Integration Challenges might Restrain the Market Growth, Associated Costs and Technical Requirements. Notable trends are: Retail Industry to Drive Market Growth.

The South Korean payments industry is experiencing robust growth, driven by the widespread adoption of digital technologies and a thriving e-commerce sector. With a Compound Annual Growth Rate (CAGR) of 8.14% from 2019 to 2024, the market demonstrates significant potential for expansion. The shift towards cashless transactions is propelled by factors such as increased smartphone penetration, government initiatives promoting digitalization, and the rising popularity of mobile wallets like KakaoPay and Samsung Pay. The convenience and security offered by digital payment methods are major contributing factors to this trend. The market is segmented by payment mode (Point of Sale – Card, Digital Wallet, Cash; Online – various methods) and end-user industry (Retail, Entertainment, Healthcare, Hospitality). The dominance of digital wallets is expected to further solidify in the coming years, challenging the traditional reliance on cash transactions, particularly in the retail and entertainment sectors. While the exact market size for 2025 is unavailable, extrapolating from the provided CAGR and assuming a 2024 market size (a logical assumption given the data's proximity to the base year) and taking into account further growth, a reasonable estimate for the 2025 market size would be in the billions, reflecting the industry's maturity and rapid expansion. The competitive landscape is dynamic, with both established global players (Visa, Mastercard, American Express) and homegrown companies (Naver, KakaoPay, Toss) vying for market share. Challenges include maintaining robust security measures against fraud and ensuring seamless integration across various platforms. Future growth will depend on factors such as regulatory developments, technological advancements (e.g., further development and adoption of biometric authentication), and the evolving payment preferences of consumers. The continued expansion of e-commerce and the increasing penetration of mobile payments across diverse sectors will be crucial for sustaining the industry’s growth trajectory. The success of South Korean payment providers will hinge on their ability to innovate and adapt to shifting consumer behaviors while maintaining a strong focus on user experience and security. Furthermore, the expansion of financial inclusion initiatives could unlock further growth potential by bringing underserved populations into the digital payment ecosystem. Recent developments include: In January 2022 - Bhushan International Financial Center (BIFC) announced that it is building a Fintech megastructure with a focus on innovations like metaverse and blockchain technology., In May 2021 - South Korea's central bank announced the building of a pilot platform for a digital currency, moving a step closer to developing a central bank-backed digital currency. The development will finish by the end of 2025.. Key drivers for this market are: High Proliferation of E-commerce, including the rise of m-commerce and cross-border e-commerce supported by the increase in purchasing power, Enablement Programs by Key Retailers and Government encouraging digitization of the market; Growth of Real-time Payments, especially Buy Now Pay Later in the country. Potential restraints include: High Proliferation of E-commerce, including the rise of m-commerce and cross-border e-commerce supported by the increase in purchasing power, Enablement Programs by Key Retailers and Government encouraging digitization of the market; Growth of Real-time Payments, especially Buy Now Pay Later in the country. Notable trends are: Retail Industry to Drive Market Growth.

The South Korea Mobile Payment Market has exhibited growth recently. Increasing smartphone penetration and digital banking adoption are being observed as key factors expanding the market size of South Korea's mobile payment sector, supported by widespread internet accessibility and evolving consumer preferences for cashless transactions. This is likely to enable the market size to surpass USD 40.68 Billion valued in 2024 to reach a valuation of around USD 83.96 Billion by 2032.The rapid expansion of the South Korea Mobile Payment Market is primarily driven by the rising integration of fintech solutions with e-commerce platforms, which is being reinforced by technological advancements and strong regulatory support for digital payments. It enables the market to grow at a CAGR of 9.10% from 2026 to 2032.

South Korea Real Time Payments Market valued at USD 1.7 Bn, driven by digital adoption, e-commerce rise, and government initiatives. Growth fueled by 95% smartphone penetration and innovations like AI and blockchain.

The South Korea digital wallet market is expected to grow at a CAGR of 8.80% between 2025 and 2034. Digital wallets are used to pay for several purposes, such as online and mobile banking, business banking, mobile phone bill payments, and insurance premiums, among others.

E-Payment Market in South Korea is Segmented by Type (Proximity, Remote). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.

South Korea Payments Market size was valued to be USD 1.22 Billion in the year 2023 and it is expected to reach USD 4.79 Billion in 2031, at a CAGR of 20.1% from of 2024 to 2031.

Definition/Overview

The payments market encompasses various payment methods and technologies designed to facilitate financial transactions across different sectors, including credit cards, debit cards, mobile payments and digital wallets. These payment solutions serve crucial functions in enabling secure, efficient and convenient transactions for both consumers and businesses across various applications.

The sector plays a vital role in providing both domestic and international payment processing capabilities while ensuring compliance with financial regulations.

This statistic shows the distribution of mobile payment market in South Korea as of December 2018. As of that date, NaverPay took up around ** percent of the South Korean mobile payment market, followed by 11Pay with about ** percent.

South Korea’s payment gateway sector, valued at more than USD 860 million in 2024, is evolving with increased competition and the widespread use of digital payments in e-commerce.

South Korea Real Time Payments Market size was valued at 1.48 USD Billion in 2023 and is projected to reach USD 26.23 Billion by 2031 growing at a CAGR of 36.95% from 2024 to 2031.

Key Market Drivers:

Digital Banking Adoption: The widespread adoption of digital banking services in South Korea, combined with increasing smartphone penetration and a growing preference for contactless payments, generates significant opportunities for real-time payment providers to develop innovative solutions that meet evolving consumer preferences while supporting the trend toward a cashless society and instant settlement capabilities.

Government Support and Infrastructure: The strong government backing for digital payment initiatives and robust technological infrastructure creates an optimal environment for real-time payment growth. The systematic development of payment networks, coupled with regulatory support for financial innovation, drives advancement in payment technologies and supports rapid market expansion.

The global ePayment system market is projected to reach USD 138.8 billion in 2025 and expand to USD 816.8 billion by 2035, driven by a compound annual growth rate (CAGR) of 20.1%. This rapid expansion is fueled by advancements in mobile technology, the proliferation of e-commerce platforms, and the increasing shift toward cashless and contactless transactions across developed and emerging economies.

Contract & Deals Analysis

Company	Contract Value (USD Million)
Visa	Approximately USD 80 - 90
Mastercard	Approximately USD 70 - 80
PayPal	Approximately USD 60 - 70
Square	Approximately USD 50 - 60
Stripe	Approximately USD 90 - 100

Segment- Wise Analysis

Segment	Value Share (2025)
Solution	65.8%

Segment	Value Share (2025)
Cloud-based	75.4%

Country-wise Analysis

Country	CAGR (2025 to 2035)
The USA	11.2%
The UK	10.5%
France	9.8%
Germany	9.5%
Italy	8.9%
South Korea	12.0%
Japan	10.2%
China	13.5%
Australia	9.3%
New Zealand	8.5%

Competitive Outlook

Company Name	Estimated Market Share (%)
PayPal Holdings Inc.	20-25%
Visa Inc.	15-20%
Mastercard Inc.	12-16%
Square (Block, Inc.)	10-14%
Stripe	6-10%
Other Companies (combined)	30-40%

South Korea, US, UK, Eu, & Japan Cross-border Payments Market size was valued at USD 210.21 Billion in 2024 and is expected to reach USD 374.90 Billion by 2032, growing at a CAGR of 7.5% from 2026 to 2032.

South Korea, US, UK, Eu, & Japan Cross-border Payments Market Drivers

Real-Time Payments: The increasing adoption of real-time payment systems is accelerating cross-border transactions, reducing settlement times, and improving efficiency.

Mobile Payments: The proliferation of mobile wallets and payment apps is facilitating cross-border transactions, particularly for consumer remittances and e-commerce.

Blockchain and Distributed Ledger Technology (DLT): DLT has the potential to revolutionize cross-border payments by increasing transparency, reducing costs, and improving speed.

API Integration: Application Programming Interfaces (APIs) are enabling seamless integration of payment systems, facilitating faster and more efficient cross-border transactions.