Letter of Credit Confirmation Industry Worth $5.61 Billion by 2029 - E-Commerce Growth and Innovative Trade Finance Solutions Drive the Global Market

Dublin, Sept. 11, 2025 (GLOBE NEWSWIRE) -- The "Letter of Credit Confirmation Market Report 2025" has been added to ResearchAndMarkets.com's offering.

The letter of credit confirmation market is poised for continued growth, with its size expected to expand from $4.38 billion in 2024 to $5.61 billion by 2029, registering a compound annual growth rate (CAGR) of 5.2%. The increase in the historic period is fueled by complex international transactions, creditworthiness concerns, regulatory compliance, currency exchange risks, and global supply chain expansion.

The prediction notes a slight 0.2% reduction in growth rate compared to previous estimates, largely due to tariffs influencing US trade finance costs, impacting software licensing fees and international compliance.

Technological advancements, such as blockchain, digital transformation, automation, and fintech collaboration, are set to significantly impact the market. Innovations, including blockchain-enabled letters of credit, streamline transactions and reduce processing times, as demonstrated by Citi India's adoption in April 2023. Major industry players like Bank Windhoek are launching bank confirmation letter validation sites to enhance security and simplify validation processes, thereby reducing fraud risks.

In the global trade context, the demand for letter of credit confirmations is driven by increasing trade activities. The United Nations Conference on Trade and Development reported a 25% rise in global trade value, reaching $28.5 trillion in 2021, with continued growth anticipated by the World Trade Organization. The e-commerce surge, with sales constituting 15.4% of total sales in Q2 2023 as per the US Census Bureau, further propels the market, providing a secure framework for international transactions.

Significant players in this market include Bank of America, Citigroup, DBS Bank, JPMorgan Chase, and HSBC. The largest regional share belongs to Asia-Pacific, extending to regions such as North America, Western Europe, and the Middle East. Key geographic markets include the US, China, India, and Germany.

Report Scope

Markets Covered:

By L/C Type: Sight L/Cs, Usance L/CsBy End User: Small Enterprises, Medium-Sized Enterprises, Large Enterprises

Subsegments:

By Sight L/Cs: Commercial Sight L/Cs, Standby Sight L/CsBy Usance L/Cs: Commercial Usance L/Cs, Standby Usance L/Cs

Companies Mentioned: Leading institutions such as Bank of America Corporation, Citigroup Inc., DBS Bank Ltd., JPMorgan Chase & Co., and HSBC Holdings plc., among others, are featured for their significant roles in the market.

Geographies Covered: Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain, and regional markets across Asia-Pacific, Western and Eastern Europe, North and South America, the Middle East, and Africa.

Time Series: Includes five years of historical data and ten years of market forecasts.

Data: Provides ratios of market size and growth in relation to related markets, GDP proportions, and per capita expenditure.

Key Attributes

Report AttributeDetailsNo. of Pages250Forecast Period2025-2029Estimated Market Value (USD) in 2025$4.57 BillionForecasted Market Value (USD) by 2029$5.61 BillionCompound Annual Growth Rate5.2%Regions CoveredGlobal

The companies featured in this Letter of Credit Confirmation market report include:

Bank of America CorporationCitigroup Inc.DBS Bank Ltd.JPMorgan Chase & Co.Mizuho Bank Ltd.MUFG Bank Ltd.ScotiabankStandard Chartered PLC.Sumitomo Mitsui Banking CorporationThe PNC Financial Services Group Inc.CoBankHSBC Holdings plc.ICICI Bank GroupState Bank of India. GroupWells Fargo & CompanyBarclays Bank PLCBNP Paribas SACredit Agricole SADeutsche Bank AGIndustrial and Commercial Bank of China LimitedNational Australia Bank LimitedRoyal Bank of CanadaSociete Generale SAThe Bank of Tokyo-Mitsubishi UFJ Ltd.The Toronto-Dominion BankUnion Bank of Switzerland Aktiengesellschaft AGUniCredit S.p.A.Westpac Banking CorporationChina Construction Bank Corporation

For more information about this report visit https://www.researchandmarkets.com/r/7vxwr1

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Letter of Credit Confirmation Market