Friday, November 24, 2017 | Today's Vending Industry News
Strong ATM Growth Predicted For Developing Nations

Posted On: 11/8/2017

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LONDON -- The consulting firm Retail Banking Research released its report, Global ATM Market and Forecasts to 2022. According to the London-based consultancy, the number of ATMs worldwide reached a record of 3.3 million in 2016. However, that rate of expansion has decelerated. The report states that global expansion slowed to 3%, down from 5% in 2015.

Despite the maturity of many markets, the potential for expansion is not exhausted. For the first time, RBR's global ATM research featured detailed forecasts for many smaller markets, revealing a wealth of growth opportunities in south Asia and Africa. According to the report, Myanmar is set to see the fastest growth over the next five years. The number of ATMs in that country grew from zero in 2011 to almost 2,500 by the end of 2016. The expansion, RBR noted, was driven primarily by economic reform. While Bangladesh's ATM market has been booming since early 2015 when relaxation of deployment regulations triggered a surge in new installations. With banking services and the economies of both countries expanding rapidly, ATM deployments are predicted to double to 18,000 ATMs in Bangladesh and 6,000 in Myanmar by 2022.

According to RBR, there has also been strong recent growth in the Middle East and Africa, which is expected to continue particularly in many African markets. Algeria is forecasted to see the region's fastest growth in its number of ATMs as banks follow the national postal service in building coverage across the country.

"Although most major ATM markets are slowly growing, or even contracting in some cases, many smaller, developing countries continue to have huge potential," said Rowan Berridge, who led the RBR research team. "These markets are characterised by a low density of ATMs to population - fewer than 100 machines per million people - but are enjoying rapid economic growth and benefiting from state-driven programs to increase financial inclusion. Cash is set to remain hugely important in these markets and prospects for growth in ATM deployment are excellent."

RBR is a research and consulting firm with three decades of experience in banking, retail automation and payments. It provides independent advice and intelligence through published reports, consulting, newsletters, and events. For additional information, visit the RBR website at www.rbrlondon.com.