Payments

Prepaid card market to reach $21.7B

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March 3, 2023

The prepaid card market will grow from $15 billion in 2022 to $16.32 billion in 2023 and will eventually reach $21.7 billion by 2027, according to data from Research and Markets. It will increase at a compound annual growth rate of 8.8% from 2022 to 2023 and 7.4% from 2023 to 2027, according to a press release.

Prepaid cards may be open loop or closed loop, which can be used at any locations accepting cards or only at certain locations respectively. The Asia Pacific market held the largest market share in 2022, followed by Western Europe.

The cards generate revenue through processing and service fees from banks and financial institutions.