News Digest:

The asset-based lending market is set to grow from $697.75 billion in 2023 to $787.28 billion in 2024, registering a CAGR of 12.8%, says a research report. This growth is led by several factors such as economic downturns and associated credit challenges, the demand for working capital financing, the cyclical nature of industries, corporate restructuring, and turnarounds.

This market is expected to grow further and touch $1262.76 billion by 2028 at a CAGR of 12.5% amidst increased volatility in the global markets, rising demand for non-traditional financial solutions, and expanding cross-border transactions, says the report.

Takeaway:

Asset-based lending has been particularly instrumental in addressing asset-rich but cash-poor situations, offering businesses a viable financing strategy during challenging economic conditions. The next few years could witness a spike in cross-border asset-based lending, the application of AI in credit decision-making, and heightened collaboration between lenders and Fintech companies.

End Notes

Source: https://www.prnewswire.com/news-releases/asset-based-lending-global-market-report-2024—market-to-soar-to-1262-76-billion-by-2028–driven-by-demand-for-non-traditional-financing-solutions-302065225.html