Neobanking penetration rates in Hong Kong when broken down by age reveal something unexpected: this market isn’t really dominated by millennials at all.
Exactly 13 percent and 18 percent of those aged 18-24 years old and 25-34 years old, respectively, had online-only bank accounts, according to a Finder’s report. This compares with 20 percent of those aged 65 and above who have neobanking accounts – the top-ranked age bracket.
The report forecasts a consistent trend in the future with a 30 percent and 26 percent penetration rate by 2025 for individuals who are 18-24 years old and 25-34 year old, respectively. Penetration rates are above 30 percent for the remaining age brackets with the exception of the 55-64-year-old bracket which posted a low of 22 percent.
«Younger Hong Kongers may not be as digitally savvy as we think,» the report added.
India's Growth Potential
Globally, Hong Kong’s estimated 28 percent neobanking penetration rate by 2025 is a relatively modest figure. Singapore’s penetration rate is at 20 percent and is expected to reach 30 percent by 2025. Brazil is estimated to reach 44 percent in the same year – the top-ranked country in the report.
India trails closely behind in second place at 43 percent by 2025 but it boasts the most dominant market growth potential with nearly 200 million fresh new users expected to join in the period.
