Fintech is going mainstream

Consumers are quickly adapting to financial technology, according to the EY Fintech Adoption Index.

Consumers are quickly adapting to financial technology, according to the EY Fintech Adoption Index.

The latest apps and gadgets aren’t just for millennials.

Nearly two-thirds of digitally active consumers use financial technology in 20 markets, according to a study from EY.

The professional services giant found that emerging markets are pushing much of the adoption, with most of the growth coming from users in Brazil, China, India, Mexico and South Africa. Adoption in those areas was on average 46 per cent.

The biggest adoption rates were in China and India, with 69 per cent and 52 per cent respectively.

Use in the UK has also grown, with adoption rates at 42 per cent, the firm found.  

It’s clear that fintech is shaping the future, says Imran Gulamhuseinwala, EY global fintech leader.

“Traditional firms, who sometimes struggle to deliver the same seamless and personalized user experiences, will undoubtedly need to step up their efforts to remain competitive,” he said. “I think it's likely that we will see greater collaboration between traditional firms and fintechs in the future."

Use is not limited to age either. While younger generations tend to use fintech more, use is growing among older people. The survey found that 22 per cent of digitally active users aged 45 to 64 use some form of financial. Around 15 per cent of those older than 65 also use fintech services.