FCI industry statistics: A resilient growth trajectory in 2023
In 2023, the World Factoring industry demonstrated robust resilience and growth, with a notable 3.6% increase in volume compared to 2022. This follows two consecutive years of double-digit growth, bringing the volume to €3,791bn, up from €3,659bn in the previous year. Although the growth rate has normalised compared to the volatility of recent years, it reflects a return to pre-pandemic stability.
Over the past two decades, factoring has shown remarkable strength, with a compounded annual growth rate of 8.3%. Both domestic and international factoring have grown significantly, underscoring the industry’s ability to support SMEs and corporates by providing liquidity, protecting against customer bankruptcies, and offering global collection support.
Europe:
- Europe remains the largest contributor, accounting for approximately 68% of the global volume with €2,555bn, showing an overall increase of 2.3%.
- Key markets include France (+1.2%), United Kingdom (+2.7%), Germany (+3.1%), Italy (+0.9%), and Spain (+5%).
- Exceptional growth was seen in Hungary (+14.7%), North Macedonia (+52%), Romania (+10.4%), Serbia (+24.3%), Slovenia (+14.2%), and Turkey (+10.6%).
- Some markets experienced declines, including Armenia (-42.1%), Denmark (-23.6%), Georgia (-26.3%), Latvia (-12.8%), Moldova (-60%), and Norway (-15.3%).
Asia Pacific:
- The region represents 25% of global volume with €942bn, marking a 6.9% increase.
- Greater China region saw mixed results: Mainland China (+10%), Hong Kong (-20.2%), and Taiwan (-14%).
- Japan rebounded with a 5.8% increase to €60bn, while India grew by 10.2% to €17.3bn.
- Singapore posted the highest regional increase at 36.4%, reaching €60bn.
Americas:
- The Americas saw a 4.1% increase, representing 6% of the global volume at €237bn.
- South and Central America, with a 3% share at €144bn, grew by 16.4%. Leading markets include Chile (+2.4%), Brazil (+16%), and Mexico (+3.9%).
- North America, representing close to 3% of the market at €92.8bn, experienced a decline of 10.7%.
Africa:
- Africa accounts for 1.2% of the global volume at €47bn, with a growth rate of 13.5%. South Africa, the dominant market, saw a 14% increase, reflecting the continent’s strong growth trajectory.
Middle East:
- The Middle East, with 0.3% of the global volume, remained flat, largely due to data collection challenges.
Despite a challenging global environment, the 2023 FCI market survey highlights the strength and resilience of the factoring and receivables finance industry. The return to a more normalised growth rate underscores the industry’s crucial role in financing the real trade economy. FCI extends its gratitude to all members and partners for their contributions in accurately reporting these impactful figures.
“This year’s data reaffirms the vital role of factoring and open account finance in supporting global trade, providing stability, and fostering economic growth across diverse regions.”, stated Neal Harm, “As we look forward to the future, the industry’s proven adaptability and robust performance continue to pave the way for sustained success.”