Transaction Monitoring Market Size

Transaction Monitoring Market size is anticipated to reach USD 55 billion by the end of 2036, growing at a CAGR of 15% during the forecast period, i.e., 2024-2036. In the year 2023, the industry size of transaction monitoring was over USD 10 billion. The primary growth driver propelling the market is the escalating stringency of regulatory compliance requirements governing financial transactions.

Financial institutions and organizations across the globe are under mounting pressure to adhere to stringent Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations, among others, to curb illicit activities and ensure the integrity of the financial system. Transaction monitoring solutions have become indispensable tools for financial entities to mitigate the risks associated with non-compliance. According to a report, the global cost of financial crime compliance for businesses reached an average of USD 41.9 million per year in 2020.

There are severe financial penalties, reputational damage, and perhaps legal action associated with breaking regulatory norms. Given the growing penalty of non-compliance, organizations are strongly pushed to invest in dependable transaction monitoring solutions.