Juniper Research predicts A2A payment transactions to hit 186bn by 2029

The volume of global transactions via account-to-account (A2A) payments has been projected to reach 186 billion by 2029, according to new research.

Juniper Research has forecast a 209% increase in global transactions via A2A payments over the next five years, soaring to 186 billion in 2029, from the 60 billion made in 2024.

In its latest report, ‘Global A2A Payments Market: 2024-2029’, Juniper Research said that bank-to-bank transfers had “gained global traction” in recent years, and that A2A payments have an advantage over other payment methods, with instant settlements and cheaper transaction fees than cards “increasing its desirability to merchants”.

The new report found that Open Banking developments – specifically, variable recurring payments (VRPs) – have enabled the proliferation of A2A solutions.

Juniper Research suggested that, as a consequence, businesses and banks have grown interested in VRPs due to their increased flexibility and transparency compared to direct debit.

It cited the US as an example of a card-dominated market where the rollout of instant payments has created “A2A opportunities”.

According to Juniper Research, the US’s most recent payment rail which launched in 2023, has an average transaction fee of 4 cents, compared to cards, with an average fee of 3.5% per transaction.

Matthew Purnell, research analyst at Juniper Research and research author, said: “VRPs provide a service not easily replicable beyond A2A, boosting A2A’s potential.

“Vendors must capitalise on this opportunity and offer merchants A2A-specific solutions that enhance consumer payment experiences like VRPs, improving satisfaction and rewarding repeated payments.”

It follows a study by Juniper Research, published earlier in the year, which forecast the instant payments market will swell by 161% to surpass $58 trillion globally by 2028, driven by A2A wallets and Open Banking payments.